Case
Teaching Notes
Abstract
This case looks at the trend of companies going public via direct listing rather than with a traditional initial public offering (IPO). Direct listings were recently formally approved by the Securities and Exchange Commission, and major companies such as Spotify and Slack were frontrunners in opting for the new alternative. With several advantages for start-ups, including exemption from bank underwriting and the attendant fees inherent in IPOs, direct listing is a strategy likely to catch on in Silicon Valley.
This case was prepared for inclusion in Sage Business Cases primarily as a basis for classroom discussion or self-study, and is not meant to illustrate either effective or ineffective management styles. Nothing herein shall be deemed to be an endorsement of any kind. This case is for scholarly, educational, or personal use only within your university, and cannot be forwarded outside the university or used for other commercial purposes.
2024 Sage Publications, Inc. All Rights Reserved