LionTree’s Post

Transcript

We get asked a lot of questions about the profile of companies that have been able to make it out the door, so we did a quick analysis. From the start of 2023 to this year to date, there have been 20 TMT and consumer IPOs that have raised at least 50 million. The skew of these companies has been towards the larger size with just over 50% having 1 billion or more in revenue. But some smaller companies did make it through with 20% having revenues in the range of 500 to a billion and 15%. Getting revenues in the range of 250 to 500. The slant of profitability continues as well with 63% having last 12 month positive EBITDA. The largest cluster of companies posted between 10 and 25% annual revenue growth year over year, but the average was 29%. And the overall performance of these IPO's from pricing to date also shows a 29% increase. So quite solid, but this is due to the huge performance of Kava, up 320%. And arm up just over 130%. Excluding those two, the average performance is up 7%, which is OK, but probably not enough for some investors to want to take on the risk. IPO's are still a little touch and go, but it's great to see some movement.