Despite the fact that the US stock market has recovered significantly from last year’s woes in eight months, the publicly traded technology sector has not welcomed any major entrants since 2021. Experts hope that the initial public offering (IPO) of Japanese microprocessor manufacturer Arm will break this nearly two-year drought.
In 2022, stock markets around the world experienced a fall in value, meaning that even companies that were considering going public and starting to trade their shares in the public put their plans on hold, fearing that they will not be able to find enough investors.
However, according to expert comments and stock exchange data, although the year 2023, especially the end of spring and beginning of summer, has been good, the value of stock indices has risen by tens of percent and the value of shares of technology companies “Tesla” and “Nvidia”, for example, has increased by more than 100%, companies have been slow to go public this year as well.
Drought for 19 months
Car sharing platform “Turo” submitted its IPO prospectus to the stock exchange in January 2022. The documents of the food delivery company “Instacart” were submitted to the stock exchange last May. However, as CNBC writes, none of them have yet started trading their shares on the stock exchange.
The US, the main tone-setting public securities market in the world, has not had a major tech company’s initial public offering since December 2021, when software distributor HashiCorp made its Nasdaq debut, the media points out.
2023-08-25 04:00:03
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