3 ms·
> I also saw that this is a direct listing and not an IPO. A direct listing is an IPO. Underwriter's are not a requirement, as Spotify profitably demonstrated.
by tomnipotent 7y ago
> I also saw that this is a direct listing and not an IPO.
A direct listing is an IPO. Underwriter's are not a requirement, as Spotify profitably demonstrated.
- fasteo 7y agoThanks for clarifying. My understanding was that an IPO creates new shares, while a direct listing just sells the existing ones. In the same sense, I thought that underwriters were responsible for pushing the stock through the distributions channels (funds, investors, etc) so that they make sure that an IPO is successful in its opening.
- tomnipotent 7y agoAfter some more searching on "direct listing vs. IPO", there definitely seems to be a lot of "DPO is not an IPO" so I'm going to enjoy having my foot in my mouth.