This veteran VC doesnt think ARMs IPO will have the impact that everyone is hoping it will | TechCrunch
- I’ve never understood this concept of, ‘Well, the market is closed, but you take one super big company, and you put it out there, and all of a sudden everybody gets to go public again.’ I personally don’t understand that.
- So, no, I don’t think it’s gonna blow the market open and that a whole line is going to march out there and we’re going to have 50 IPOs between now and December.
- But when a strategic invests in you, they also make money when their stock goes up.’ To me, that summarizes something really important.
- Then things really went haywire, with founders allowed to sell a lot of shares in their company — sometimes at sky-high prices — at the same time they were raising primary capital from investors.
- The widespread thinking seems to be that this chip design company is going to worth anywhere from $40 billion to $80 billion and blow open the IPO window.
- What else were many founders not exposed to previously and so are struggling with?There’s a lot going on right now that entrepreneurs need to be aware of.
The startup industry has been whistling a happy tune ever since the British chip designer ARM filed paperwork with the SEC late last month for an initial public offering. The growing expectation is t [+5535 chars]