Sageworks Blog

May15

The JOBS Act: IPO on-ramp or public company off-ramp? Brian HamiltonChairman

May 15, 2012 13:55

A key part of the JOBS Act recently signed by President Obama has been described as creating an “IPO on-ramp” that makes the process of an initial public offering easier and more attractive. No doubt many companies contemplating an IPO will race to the public markets as a result of the new law, and we may see a bumper crop of IPOs in the short term. But I believe the JOBS Act as a whole will probably continue the momentum away from companies going public. While there are pieces of the new law that will encourage public listings, other aspects will reinforce the ability of companies that want to stay private to do so while giving others new options for raising capital outside of public markets. [More]

May 11, 2012 13:02

Facebook’s initial public offering, scheduled to begin trading on May 18, will have a rich valuation compared to other big tech players, according to Sageworks CEO Brian Hamilton, a noted expert on privately held companies. “To put Facebook’s valuation in perspective, if Apple, which manufactures tangible products, was valued at a multiple comparable to Facebook, Apple’s market capitalization/value today would be approximately $2.7 trillion,” Hamilton said, noting Apple’s current market capitalization is about $500 billion. [More]