The US tech IPO debacle

2022 was a rough year to say the least…

Image by Moshe Harosh from Pixabay (with added blue filter)

U.S. IPO deal proceeds dropped by 94% in 2022, according to Ernst & Young’s mid-December report on IPOs.

Furthermore, as per FactSet, no U.S. tech deal reached $1 billion in 2022. In contrast, 15 IPOs raised at least $1 billion in 2021. Intel’s spinoff Mobileye raised slightly under that amount; no other U.S. tech IPO received even $100 million.

Of course, the drop in deals is not unique to America, but the local market has been particularly affected.

There is moderate optimism going into 2023 with possible deals involving Stripe, Databricks and Chime Financial.

This story was first published on The PhilaVerse (my Substack newsletter).