A Look at the Tech IPO Landscape in 2024

Sydney Times

— 2 min read
A Look at the Tech IPO Landscape in 2024

Introduction

As we enter the midpoint of 2024, the excitement surrounding the IPO pipeline for tech companies seems to have waned. Let's delve into the current state of the IPO market and explore which companies are likely to go public this year and which ones are holding off.

Recent Tech IPOs

  • Reddit, Astera Labs, Ibotta, and Rubrik went public in March and April, offering hope for a thriving IPO market in 2024.

Market Predictions

  • Experts suggest that external factors like the upcoming presidential election and fluctuating interest rates may delay a full reopening of the IPO market until 2025.

Potential IPO Candidates

  • Klarna and Shein are among the companies in talks with bankers about potential IPOs, but no clear timelines have been set.

Companies Not Going Public in 2024

Sword Health

  • AI-powered virtual physical therapy startup, Sword Health, has indicated that it plans to IPO in 2025 or later. Recent funding rounds suggest a lack of urgency for a public offering.

Plaid

  • B2B fintech company Plaid has ruled out an IPO in 2024, aligning with previous statements from company executives. Plaid was valued at $13.4 billion in its last funding round.

Figma

  • While design unicorn Figma has not explicitly stated that it won't IPO in 2024, recent actions, such as a tender offer for existing investors and employees, indicate a potential delay in going public. The company's valuation stands at $12.5 billion.

Stripe

  • Fintech giant Stripe conducted a tender offer earlier this year, reinforcing the notion that an IPO may not be imminent. Despite a valuation dip to $65 billion, Stripe is focused on building its value before considering an IPO.

Databricks

  • AI cloud platform Databricks, previously rumored to be a likely IPO candidate, raised $500 million in a recent funding round, signaling a delay in its public offering plans. The company is positioned for a potential IPO in 2025.

Canva

  • Design startup Canva, co-founded by Cliff Obrecht and Melanie Perkins, is unlikely to go public before 2025, with a potential IPO date in 2026. The company is eyeing a U.S. listing when it decides to enter the public market.

Conclusion

While 2024 may not see the flurry of tech IPOs that investors had anticipated, the market remains dynamic with companies strategically planning their public offerings. Stay tuned for further developments as these tech firms navigate their paths to going public.

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