As we start usurpation nominations for CNBC’s eighth annual Disruptor 50 list, we’re looking during how this year’s collection of companies will simulate a latest tech trends.
Last year was a large one for companies valued during $1 billion or some-more — a supposed “unicorns.” There were 36 on a 2019 Disruptor 50 list, and of a 80 companies that went open final year, 28 of them were value $1 billion or some-more during a time of their IPO.
But a opening of final year’s biggest debuts, such as Uber and Lyft, has shown that lifting billions of dollars pre-IPO has not translated to open marketplace success. That means, as investors and executives investigate those results, a epoch of mega-funded private companies watchful to go open could be entrance to an end.
Benchmark Capital’s Bill Gurley, a longtime try investor, recently tweeted his unicorn doomsday prediction.
Take Uber, a biggest IPO of final year: It lifted $14 billion before it went open and afterwards $8 billion in a IPO. Since it went open in May, a batch is down 17%. Lyft, a second-biggest IPO final year, lifted $5 billion before a IPO and another $2.3 billion in a open offering. Its batch is down 34% given it started trade during a finish of March.
In contrast, one of a lowest-valued companies on final year’s Disruptor 50 list, Progyny, with a $123 million marketplace cap, pre-IPO, lifted only $93 million before it went public. Since it started trading, a batch has doubled.