Business Maverick: Silicon Valley Investors Call Summit to Disrupt IPO Business

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Business Maverick: Silicon Valley Investors Call Summit to Disrupt IPO Business By Bloomberg

Powerful figures are gathering 2,500 miles from Wall Street to redesign one of its oldest and most lucrative businesses — but few from the industry will have a seat at the table.

“I’m not anti-banker, I’m pro-algorithm,” Bill Gurley, a general partner at venture capital titan Benchmark who is one of the meeting’s organizers, said in a phone interview. He said investment bankers are largely uninvited. To be sure, investors expect IPOs to feature first-day “pops” in price that reward the risk they take supporting a market debut. Yet while companies going public sometimes appreciate the positive press and the demand that such rallies create for future offerings, some entrepreneurs have lamented the money left on the table that could’ve gone into operations instead of speculators’ pockets.

 

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