The private equity firm Thoma Bravo will sell 41.6 million shares in the transatlantic exchange operator through a secondary public offering, Nasdaq announced Friday. The news sent Nasdaq shares down 2.8 per cent after hours.

The bottom line is that, in the past year, Nasdaq acquired fintech firm Adenza from Thoma Bravo in a cash-and-stock deal worth $10.5 billion, thereby providing a huge stake in the exchange operator to the private equity firm. At the current closing price of Nasdaq, the offering will raise $2.79 billion for Thoma Bravo and cut its stake to 7.4 per cent, or 42.8 million shares.

Currently, Thoma Bravo owns nearly 14.9 per cent of Nasdaq, LSEG data show. Following the sale, it will be the fifth-largest shareholder in the exchange. The remaining shares that Thoma Bravo still holds in the company will be subject to an existing contractual lock-up until May 1, 2025.

In a note last month, Morgan Stanley analyst Michael Cyprys said, Thoma Bravo-held Nasdaq shares coming to the market could be a positive catalyst to relieve an overhang on the shares.

Apart from that, Nasdaq has signed a share repurchase agreement with Thoma Bravo to buy back 1.2 million shares of its shares, based on the condition that the total repurchased shall not be over $120 million. This buyback will be funded by the exchange itself through existing cash on hand and borrowings under its commercial paper program.

Earlier this year, Borse Dubai reduced its stake in Nasdaq, relinquishing its position as the exchange's biggest shareholder to Thoma Bravo. Following this offering, Borse Dubai will reestablish itself as Nasdaq's largest shareholder.

Goldman Sachs is the sole book-running manager for the offering.

The planned sale of stakes by Thoma Bravo is characteristic of the strategic turn in Nasdaq's shareholder structure, impregnated by more general market dynamics and investor sentiment. This will likely affect Nasdaq's future financial strategies and positioning in the marketplace.

The private equity firm Thoma Bravo will sell 41.6 million shares in the transatlantic exchange operator through a secondary public offering, Nasdaq announced Friday.

The private equity firm Thoma Bravo will sell 41.6 million shares in the transatlantic exchange operator through a secondary public offering, Nasdaq announced Friday. The news sent Nasdaq shares down 2.8 per cent after hours. The bottom line is that, in the past year, Nasdaq acquired fintech firm Adenza from Thoma Bravo in a cash-and-stock deal worth $10.5 billion, thereby providing a huge stake in the exchange operator to the private equity firm. At the current closing price of Nasdaq, the offering will raise $2.79 billion for Thoma Bravo and cut its stake to 7.4 per cent, or 42.8 million shares. Currently, Thoma Bravo owns nearly 14.9 per cent of Nasdaq, LSEG data show. Following the sale, it will be the fifth-largest shareholder in the exchange. The remaining shares that Thoma Bravo still holds in the company will be subject to an existing contractual lock-up until May 1, 2025. In a note last month, Morgan Stanley analyst Michael Cyprys said, Thoma Bravo-held Nasdaq shares coming to the market could be a positive catalyst to relieve an overhang on the shares. Apart from that, Nasdaq has signed a share repurchase agreement with Thoma Bravo to buy back 1.2 million shares of its shares, based on the condition that the total repurchased shall not be over $120 million. This buyback will be funded by the exchange itself through existing cash on hand and borrowings under its commercial paper program. Earlier this year, Borse Dubai reduced its stake in Nasdaq, relinquishing its position as the exchange's biggest shareholder to Thoma Bravo. Following this offering, Borse Dubai will reestablish itself as Nasdaq's largest shareholder. Goldman Sachs is the sole book-running manager for the offering. The planned sale of stakes by Thoma Bravo is characteristic of the strategic turn in Nasdaq's shareholder structure, impregnated by more general market dynamics and investor sentiment. This will likely affect Nasdaq's future financial strategies and positioning in the marketplace.

Thoma Bravo to offload significant Nasdaq stake in $2.8 billion secondary public offering

Now, we look at the growing interest in initial public offerings (IPOs) in India. With new stocks outperforming the broader market and listings overseas, retail investors are likely to keep pouring money into Indian IPOs this year.

Average gain of India's IPO debuts surpasses Asian peers

Fast fashion giant Shein is making headlines with a planned investment in Europe. This comes ahead of a potential IPO, but shein also faces criticism over labour practices and its impact on local businesses. Take a look at our next report.

London or Hong Kong IPO for Shein?

London or Hong Kong IPO for Shein? | World Business Watch

In a significant development for the technology IPO market, social media giant Reddit has priced its initial public offering (IPO) at the pinnacle of its indicated range, raising a staggering $748 million. <o:p></o:p>

The IPO saw Reddit and its existing shareholders sell 22 million shares at $34 per share, catapulting the platform's valuation to approximately $6.4 billion. <o:p></o:p>

Notably, Reddit allocated 8 per cent of the total shares to retail investors, eligible users, moderators, certain board members, and associates of its employees and directors.<o:p></o:p>

The top-tier pricing marks a strategic manoeuvre by Reddit, which adjusted its valuation expectations downward following a $10 billion valuation in a private fundraising round in 2021. <o:p></o:p>

This move is indicative of Reddit's ambition to tap into the buoyant investor sentiment while consolidating its position in the competitive social media landscape. <o:p></o:p>

The IPO's success serves as a much-needed catalyst for the tech IPO market, which has witnessed subdued activity in recent years.<o:p></o:p>

Despite its loyal user base, Reddit has grappled with financial losses since its inception in 2005, lagging behind peers such as Meta Platforms' Facebook and Twitter in commercial profitability. <o:p></o:p>

The platform's emphasis on niche topics and its relatively lax approach to content moderation have posed challenges in attracting advertisers, prompting Reddit to explore alternative revenue streams. <o:p></o:p>

Notably, Reddit ventured into providing artificial intelligence training data to tech behemoth Alphabet's Google in a lucrative $66 million contract unveiled earlier this year.<o:p></o:p>

However, Reddit's foray into AI training data provision has not been devoid of controversy, with the US Federal Trade Commission launching an inquiry into the company's practices concerning the sale, licensing, and sharing of user-generated content with third parties for AI model training. <o:p></o:p>

This scrutiny highlights the complexities inherent in Reddit's operations, which heavily rely on volunteer moderators from its user base to curate content across its 100,000 online forums, or "subreddits". <o:p></o:p>

Renowned for its influential communities, Reddit gained widespread attention during the "meme-stock" frenzy of 2021, wherein retail investors collaborated on Reddit's "wallstreetbets" forum to orchestrate stock surges in companies like GameStop. <o:p></o:p>

Despite challenges, Reddit remains a formidable force in the digital realm, boasting an average of 73.1 million daily active users as of the three months that ended December 31, 2023. <o:p></o:p>

With shares slated to commence trading on the New York Stock Exchange under the ticker symbol 'RDDT,' Reddit's IPO marks a significant milestone in its evolution as a key player in the social media landscape.<o:p></o:p>

(With inputs from Reuters)<o:p></o:p>

In a significant development for the technology IPO market, social media giant Reddit has priced its initial public offering (IPO) at the pinnacle of its indicated range, raising a staggering $748 million.

In a significant development for the technology IPO market, social media giant Reddit has priced its initial public offering (IPO) at the pinnacle of its indicated range, raising a staggering $748 million. The IPO saw Reddit and its existing shareholders sell 22 million shares at $34 per share, catapulting the platform's valuation to approximately $6.4 billion. Notably, Reddit allocated 8 per cent of the total shares to retail investors, eligible users, moderators, certain board members, and associates of its employees and directors. The top-tier pricing marks a strategic manoeuvre by Reddit, which adjusted its valuation expectations downward following a $10 billion valuation in a private fundraising round in 2021. This move is indicative of Reddit's ambition to tap into the buoyant investor sentiment while consolidating its position in the competitive social media landscape. The IPO's success serves as a much-needed catalyst for the tech IPO market, which has witnessed subdued activity in recent years. Despite its loyal user base, Reddit has grappled with financial losses since its inception in 2005, lagging behind peers such as Meta Platforms' Facebook and Twitter in commercial profitability. The platform's emphasis on niche topics and its relatively lax approach to content moderation have posed challenges in attracting advertisers, prompting Reddit to explore alternative revenue streams. Notably, Reddit ventured into providing artificial intelligence training data to tech behemoth Alphabet's Google in a lucrative $66 million contract unveiled earlier this year. However, Reddit's foray into AI training data provision has not been devoid of controversy, with the US Federal Trade Commission launching an inquiry into the company's practices concerning the sale, licensing, and sharing of user-generated content with third parties for AI model training. This scrutiny highlights the complexities inherent in Reddit's operations, which heavily rely on volunteer moderators from its user base to curate content across its 100,000 online forums, or "subreddits". Renowned for its influential communities, Reddit gained widespread attention during the "meme-stock" frenzy of 2021, wherein retail investors collaborated on Reddit's "wallstreetbets" forum to orchestrate stock surges in companies like GameStop. Despite challenges, Reddit remains a formidable force in the digital realm, boasting an average of 73.1 million daily active users as of the three months that ended December 31, 2023. With shares slated to commence trading on the New York Stock Exchange under the ticker symbol 'RDDT,' Reddit's IPO marks a significant milestone in its evolution as a key player in the social media landscape. (With inputs from Reuters)

Reddit IPO hits high note, raises $748 million with top-end pricing: Report

Reddit has priced its initial public offering in the range of $31 to $34 per share. This has helped the social media platform raise $748 million from the markets. Reddit's shares will start trading on the New York stock exchange on Thursday. Watch to know more!

Reddit prices initial public offering between $31 & $34 per share

Social media platform reddit is experiencing a surge of investor interest ahead of its initial public offering. Early reports indicate the IPO is oversubscribed by a factor of four to five, meaning demand for shares significantly outstrips the available supply. This strong interest could push reddit's valuation to its target of $6.5 billion, despite the company not yet turning a profit.

Reddit IPO sees 4-5x oversubscription, eyes $6.5 billion valuation

Reddit's highly anticipated initial public offering (IPO) is generating significant investor interest, with sources revealing that it is currently between four and five times oversubscribed. <o:p></o:p>

This surge in demand positions the social media platform to potentially achieve its targeted $6.5 billion valuation, signalling a strong market reception despite Reddit's history of financial losses. <o:p></o:p>

The IPO, scheduled to be priced in New York on Wednesday, aims to raise as much as $748 million, representing a pivotal moment for the company as it transitions to a publicly traded entity.<o:p></o:p>

While the oversubscription does not guarantee a soaring stock market debut, it suggests that Reddit is on track to meet its price range of $31-34 per share. <o:p></o:p>

According to Reuters, sources familiar with the matter have indicated that the marketing efforts for the IPO are ongoing, indicating the heightened anticipation surrounding Reddit's public listing. <o:p></o:p>

However, a Reddit spokesperson declined to comment on the latest developments, citing confidentiality.<o:p></o:p>

Reddit, founded in 2005, has cultivated a loyal user base over the years, with its platform hosting a diverse array of discussions across its 100,000 online forums, known as "subreddits." <o:p></o:p>

Despite its popularity, the company has faced challenges in monetising its platform and achieving profitability, trailing behind industry giants like Meta Platforms' Facebook and Twitter. <o:p></o:p>

The platform's unique focus on niche topics and its decentralised approach to content moderation have been points of contention, particularly among advertisers.<o:p></o:p>

Steve Huffman, Reddit's co-founder and chief executive, has emphasised the platform's vibrant and diverse communities, spanning from lighthearted memes to profound discussions on existential topics. <o:p></o:p>

Notably, Reddit gained widespread attention in 2021 during the "meme-stock" frenzy when retail investors coordinated on the "wallstreetbets" subreddit to drive up the prices of heavily shorted stocks, including GameStop.<o:p></o:p>

To engage retail investors and foster a sense of community ownership, Reddit has allocated 8 per cent of the total shares available for eligible users, moderators, board members, and select individuals associated with the company. <o:p></o:p>

This inclusive approach reflects Reddit's commitment to its user-driven ethos and aims to strengthen its connection with the community as it embarks on its IPO journey.<o:p></o:p>

Despite Reddit's financial losses, the platform boasts impressive user engagement, with an average of 73.1 million daily active "uniques" in the final quarter of 2023, according to regulatory filings. <o:p></o:p>

(With inputs from Reuters)<o:p></o:p>

Reddit's highly anticipated initial public offering (IPO) is generating significant investor interest, with sources revealing that it is currently between four and five times oversubscribed.

Reddit's highly anticipated initial public offering (IPO) is generating significant investor interest, with sources revealing that it is currently between four and five times oversubscribed. This surge in demand positions the social media platform to potentially achieve its targeted $6.5 billion valuation, signalling a strong market reception despite Reddit's history of financial losses. The IPO, scheduled to be priced in New York on Wednesday, aims to raise as much as $748 million, representing a pivotal moment for the company as it transitions to a publicly traded entity. While the oversubscription does not guarantee a soaring stock market debut, it suggests that Reddit is on track to meet its price range of $31-34 per share. According to Reuters, sources familiar with the matter have indicated that the marketing efforts for the IPO are ongoing, indicating the heightened anticipation surrounding Reddit's public listing. However, a Reddit spokesperson declined to comment on the latest developments, citing confidentiality. Reddit, founded in 2005, has cultivated a loyal user base over the years, with its platform hosting a diverse array of discussions across its 100,000 online forums, known as "subreddits." Despite its popularity, the company has faced challenges in monetising its platform and achieving profitability, trailing behind industry giants like Meta Platforms' Facebook and Twitter. The platform's unique focus on niche topics and its decentralised approach to content moderation have been points of contention, particularly among advertisers. Steve Huffman, Reddit's co-founder and chief executive, has emphasised the platform's vibrant and diverse communities, spanning from lighthearted memes to profound discussions on existential topics. Notably, Reddit gained widespread attention in 2021 during the "meme-stock" frenzy when retail investors coordinated on the "wallstreetbets" subreddit to drive up the prices of heavily shorted stocks, including GameStop. To engage retail investors and foster a sense of community ownership, Reddit has allocated 8 per cent of the total shares available for eligible users, moderators, board members, and select individuals associated with the company. This inclusive approach reflects Reddit's commitment to its user-driven ethos and aims to strengthen its connection with the community as it embarks on its IPO journey. Despite Reddit's financial losses, the platform boasts impressive user engagement, with an average of 73.1 million daily active "uniques" in the final quarter of 2023, according to regulatory filings. (With inputs from Reuters)

Reddit's IPO oversubscribed, set to reach $6.5 billion valuation

A battle for dominance unfolds in China's smartphone market. New data from research firm Counterpoint reveals a sharp decline in Apple's iPhone sales, plunging 24% in 2024 compared to last year. Meanwhile, Huawei emerges as a formidable competitor, boasting a remarkable 64% surge in sales.

Apple's iPhone sales drop 24% in China amid fierce competition

Social media platform Reddit is eyeing a valuation of up to $6.5 billion in its initial public offering or IPO. But this figure is far less than the $10 billion valuation in 2021.

Social media platform seeks valuation of $6.5 billion via IPO

German perfume retailer Douglas is gearing up to announce its intention to proceed with an initial public offering (IPO) in the coming days, according to two individuals familiar with the matter.

The move, if executed, will serve as a litmus test for Europe's equity markets. Majority-owned by CVC Capital Partners, Douglas plans to issue its intention to float on the Frankfurt bourse imminently, contingent on market conditions remaining favorable.

However, there is a possibility that the announcement may be delayed until next Monday, as a final decision is pending.

The timing of Douglas' IPO announcement coincides with a week rife with significant macro-economic data releases, including US inflation figures scheduled for Thursday.

Investment banks are poised to initiate discussions with potential investors following the intention to float announcement, aiming to ascertain a valuation range for the share sale.

While Reuters previously reported Douglas' aim to go public by the end of March, official spokespeople for the IPO declined to comment on the matter.

The prospective IPO announcement occurs against a backdrop of improving sentiment towards new stock listings, exemplified by the successful IPOs of German defense contractor Renk and Athens International Airport earlier this month.

The growing consensus that interest rates have plateaued contributes to a more favorable environment for equity markets.

Additionally, the CBOE Volatility Index, often referred to as Wall Street's fear gauge, remains at levels conducive for IPOs, bolstering confidence in the upcoming offerings.

Douglas' IPO plans are part of a broader trend, with at least four other major IPOs slated for the first half of the year, as per sources.

(With inputs from Reuters)

German perfume retailer Douglas is gearing up to announce its intention to proceed with an initial public offering (IPO) in the coming days, according to two individuals familiar with the matter.

German perfume retailer Douglas is gearing up to announce its intention to proceed with an initial public offering (IPO) in the coming days, according to two individuals familiar with the matter. The move, if executed, will serve as a litmus test for Europe's equity markets. Majority-owned by CVC Capital Partners, Douglas plans to issue its intention to float on the Frankfurt bourse imminently, contingent on market conditions remaining favorable. However, there is a possibility that the announcement may be delayed until next Monday, as a final decision is pending. The timing of Douglas' IPO announcement coincides with a week rife with significant macro-economic data releases, including US inflation figures scheduled for Thursday. Investment banks are poised to initiate discussions with potential investors following the intention to float announcement, aiming to ascertain a valuation range for the share sale. While Reuters previously reported Douglas' aim to go public by the end of March, official spokespeople for the IPO declined to comment on the matter. The prospective IPO announcement occurs against a backdrop of improving sentiment towards new stock listings, exemplified by the successful IPOs of German defense contractor Renk and Athens International Airport earlier this month. The growing consensus that interest rates have plateaued contributes to a more favorable environment for equity markets. Additionally, the CBOE Volatility Index, often referred to as Wall Street's fear gauge, remains at levels conducive for IPOs, bolstering confidence in the upcoming offerings. Douglas' IPO plans are part of a broader trend, with at least four other major IPOs slated for the first half of the year, as per sources. (With inputs from Reuters)

Douglas Readies IPO announcement surrounded by market optimism

Social media platform reddit is all set to go public in the united states, over eighteen years after it went live. The social media company is likely to make its market debut in march. The initial public offering or IPO will be a major test for the platform, as it lags the commercial success of peers like Facebook & 'X'.

Social media firm Reddit likely to make its market debut in march

Reddit, the social media giant, has disclosed its intention to go public in the United States stock market, while revealing a narrowed net loss of $90.8 million and a revenue growth of approximately 21 per cent in 2023. <o:p></o:p>

According to Reuters, the company's IPO filing, made public recently, marks a significant milestone nearly two decades after its inception. <o:p></o:p>

Reddit's move toward a public offering is being closely watched, positioning itself against social media powerhouses like Facebook and X (formerly Twitter). <o:p></o:p>

With an average of 73.1 million daily active users and 267.5 million weekly active users reported in the last quarter of 2023, Reddit boasts a huge user base, with over 100,000 active communities and 1 billion cumulative posts.<o:p></o:p>

In an effort to strengthen its revenue streams, Reddit has struck a noteworthy deal with Alphabet's Google, according to sources familiar with the matter. <o:p></o:p>

The agreement entails making Reddit's content available to Google's artificial intelligence models, with the contract valued at approximately $60 million annually. <o:p></o:p>

CEO Steven Huffman holds Class B common stock as revealed by the IPO filing, which is dependent upon Reddit achieving a market capitalisation valuation of $5 billion post-offering. <o:p></o:p>

The social media platform's anticipated valuation and market performance are expected to resonate positively among investors, fostering confidence in Reddit's trajectory.<o:p></o:p>

Despite Reddit's presence in the social media landscape, questions linger regarding its monetisation strategy and content moderation practices. <o:p></o:p>

Compared to its counterparts like Meta (Facebook) and Twitter, Reddit's revenue figures are dwarfed, indicating a need to refine its advertising model and address concerns over content moderation. <o:p></o:p>

Nevertheless, Reddit has carved a niche for itself, particularly among younger demographics, bolstered by its acquisition of Dubsmash, a TikTok competitor, in 2020.<o:p></o:p>

The journey to IPO hasn't been without challenges for Reddit. <o:p></o:p>

Economic uncertainties coupled with volatile technology stocks compelled the company to delay its offering, despite confidentially filing for an IPO in late 2021. <o:p></o:p>

However, with Morgan Stanley and Goldman Sachs leading the underwriting efforts, supported by a consortium of other banks, Reddit's foray into the public market is poised for significant attention and scrutiny.

<o:p></o:p>

About the Reddit-Google deal for AI training<o:p></o:p>

Media reports note that Reddit has struck a $60 million deal with Google, granting access to its posts for AI model training. 

This collaboration aims to enhance Google's services, including Search, while Reddit gains access to Google's AI models for internal improvements. 

Despite concerns from moderators, the deal does not indicate data-driven changes to Reddit's functioning, as it operates differently from algorithm-driven platforms. 

Both parties must adhere to Reddit's user terms and privacy policy, ensuring deleted posts are removed entirely. 

For Google, the partnership provides valuable human-generated data to refine AI models, improving understanding of human interactions. 

Google praised Reddit as a repository of authentic experiences, aiming to enhance user access to Reddit content through its products, benefitting both platforms and simplifying user engagement.

<o:p></o:p>

Reddit, the social media giant, has disclosed its intention to go public in the United States stock market, while revealing a narrowed net loss of $90.8 million and a revenue growth of approximately 21 per cent in 2023.

Reddit, the social media giant, has disclosed its intention to go public in the United States stock market, while revealing a narrowed net loss of $90.8 million and a revenue growth of approximately 21 per cent in 2023. According to Reuters, the company's IPO filing, made public recently, marks a significant milestone nearly two decades after its inception. Reddit's move toward a public offering is being closely watched, positioning itself against social media powerhouses like Facebook and X (formerly Twitter). With an average of 73.1 million daily active users and 267.5 million weekly active users reported in the last quarter of 2023, Reddit boasts a huge user base, with over 100,000 active communities and 1 billion cumulative posts. In an effort to strengthen its revenue streams, Reddit has struck a noteworthy deal with Alphabet's Google, according to sources familiar with the matter. The agreement entails making Reddit's content available to Google's artificial intelligence models, with the contract valued at approximately $60 million annually. CEO Steven Huffman holds Class B common stock as revealed by the IPO filing, which is dependent upon Reddit achieving a market capitalisation valuation of $5 billion post-offering. The social media platform's anticipated valuation and market performance are expected to resonate positively among investors, fostering confidence in Reddit's trajectory. Despite Reddit's presence in the social media landscape, questions linger regarding its monetisation strategy and content moderation practices. Compared to its counterparts like Meta (Facebook) and Twitter, Reddit's revenue figures are dwarfed, indicating a need to refine its advertising model and address concerns over content moderation. Nevertheless, Reddit has carved a niche for itself, particularly among younger demographics, bolstered by its acquisition of Dubsmash, a TikTok competitor, in 2020. The journey to IPO hasn't been without challenges for Reddit. Economic uncertainties coupled with volatile technology stocks compelled the company to delay its offering, despite confidentially filing for an IPO in late 2021. However, with Morgan Stanley and Goldman Sachs leading the underwriting efforts, supported by a consortium of other banks, Reddit's foray into the public market is poised for significant attention and scrutiny. About the Reddit-Google deal for AI training Media reports note that Reddit has struck a $60 million deal with Google, granting access to its posts for AI model training. This collaboration aims to enhance Google's services, including Search, while Reddit gains access to Google's AI models for internal improvements. Despite concerns from moderators, the deal does not indicate data-driven changes to Reddit's functioning, as it operates differently from algorithm-driven platforms. Both parties must adhere to Reddit's user terms and privacy policy, ensuring deleted posts are removed entirely. For Google, the partnership provides valuable human-generated data to refine AI models, improving understanding of human interactions. Google praised Reddit as a repository of authentic experiences, aiming to enhance user access to Reddit content through its products, benefitting both platforms and simplifying user engagement.

Reddit's IPO filing reveals narrowed losses, steady growth amid high anticipation

Republican Senator Marco Rubio has urged the US Securities and Exchange Commission (SEC) to intervene in the potential public listing of Shein, a popular E-commerce platform, unless the company provides additional disclosures regarding its business operations and the risks associated with operating in China.

In a letter addressed to SEC Chair Gary Gensler, Rubio expressed concerns about Shein's recent move to seek approval from Beijing for an initial public offering (IPO), suggesting it could impact the accuracy of the company's filings.

Rubio highlighted the new regulations enacted by China's securities watchdog in 2023, which empower the China Securities Regulatory Commission to scrutinise offshore listings, potentially hindering Shein's ability to portray itself as an independent global retailer.

Shein, known for its affordable fashion offerings, primarily relies on thousands of third-party suppliers based in China, particularly in the textile hub of Guangdong province, to manufacture its products.

As per a Reuters report, the company's ties to China have raised concerns among US lawmakers, including Rubio, regarding the transparency of its operations and compliance with American regulations.

Rubio, who also serves as the vice-chair of the Senate Intelligence Committee, has previously advocated for measures targeting Chinese-owned platforms like TikTok, citing national security concerns.

Rubio's opposition adds to the mounting political challenges facing Shein as it endeavours to go public. Last year, a bipartisan group of US lawmakers urged the SEC to postpone Shein's IPO until the company could verify that it does not engage in forced labour practices.

The allegations stem from reports suggesting that Shein's supply chain may be linked to regions like Xinjiang, where concerns over human rights violations have drawn international scrutiny.

While Shein has denied any involvement in forced labour, Rubio insists on greater transparency and accountability from the company.

In his letter to Gensler, Rubio called for specific disclosures from Shein, including an acknowledgment of its use of cotton from the Xinjiang Uyghur Autonomous Region.

This demand aligns with ongoing efforts to address concerns related to human rights abuses in Xinjiang and ensure that companies operating in the region uphold ethical standards.

Additionally, Rubio urged Shein to disclose its reliance on the de minimis entry trade exemption, which allows the company to ship small packages directly to consumers without paying tariffs.

Shein has refuted claims that its business success is contingent on this exemption, emphasising its commitment to compliance with trade regulations.

(With inputs from Reuters)&nbsp;

Republican Senator Marco Rubio has urged the US Securities and Exchange Commission (SEC) to intervene in the potential public listing of Shein, a popular E-commerce platform, unless the company provides additional disclosures regarding its business operations and the risks associated with operating in China.

Republican Senator Marco Rubio has urged the US Securities and Exchange Commission (SEC) to intervene in the potential public listing of Shein, a popular E-commerce platform, unless the company provides additional disclosures regarding its business operations and the risks associated with operating in China. In a letter addressed to SEC Chair Gary Gensler, Rubio expressed concerns about Shein's recent move to seek approval from Beijing for an initial public offering (IPO), suggesting it could impact the accuracy of the company's filings. Rubio highlighted the new regulations enacted by China's securities watchdog in 2023, which empower the China Securities Regulatory Commission to scrutinise offshore listings, potentially hindering Shein's ability to portray itself as an independent global retailer. Shein, known for its affordable fashion offerings, primarily relies on thousands of third-party suppliers based in China, particularly in the textile hub of Guangdong province, to manufacture its products. As per a Reuters report, the company's ties to China have raised concerns among US lawmakers, including Rubio, regarding the transparency of its operations and compliance with American regulations. Rubio, who also serves as the vice-chair of the Senate Intelligence Committee, has previously advocated for measures targeting Chinese-owned platforms like TikTok, citing national security concerns. Rubio's opposition adds to the mounting political challenges facing Shein as it endeavours to go public. Last year, a bipartisan group of US lawmakers urged the SEC to postpone Shein's IPO until the company could verify that it does not engage in forced labour practices. The allegations stem from reports suggesting that Shein's supply chain may be linked to regions like Xinjiang, where concerns over human rights violations have drawn international scrutiny. While Shein has denied any involvement in forced labour, Rubio insists on greater transparency and accountability from the company. In his letter to Gensler, Rubio called for specific disclosures from Shein, including an acknowledgment of its use of cotton from the Xinjiang Uyghur Autonomous Region. This demand aligns with ongoing efforts to address concerns related to human rights abuses in Xinjiang and ensure that companies operating in the region uphold ethical standards. Additionally, Rubio urged Shein to disclose its reliance on the de minimis entry trade exemption, which allows the company to ship small packages directly to consumers without paying tariffs. Shein has refuted claims that its business success is contingent on this exemption, emphasising its commitment to compliance with trade regulations. (With inputs from Reuters)

US lawmaker wants watchdog to scrutinise Shein's IPO bid. Here's why

We delve into the tumultuous journey of tech giant Alibaba over the past 12 months. Marked by a scrapped cloud ipo, a significant drop in market value, and a leadership shake-up. As Alibaba navigates the storm of China's crackdown on internet tech companies and intensifying competition in the cloud market, we explore the challenges, strategic shifts, and the quest for stability.

Cloud ambitions dashed: Inside Alibaba's scrapped IPO plans | World DNA

Social media giant Reddit is gearing up for its long-anticipated initial public offering (IPO) in March, marking the sector's first major debut since Pinterest in 2019.<o:p></o:p>

This is based on a Reuters report.<o:p></o:p>

Reddit, valued at approximately $10 billion in a 2021 funding round, faces fierce competition from platforms like TikTok and Facebook for advertising revenue. <o:p></o:p>

The IPO would also be a litmus test for Reddit users' willingness to support the company's stock market entry, considering the platform's history of fuelling "meme" stock rallies.<o:p></o:p>

The San Francisco-based company, founded in 2005, plans to make its public filing in late February, initiate its roadshow in early March, and complete the IPO by the end of the same month. <o:p></o:p>

Reddit, seeking to sell about 10 per cent of its shares, will decide on the IPO valuation closer to the listing. <o:p></o:p>

While these plans could face delays, as seen in the past, sources caution that Reddit's IPO aspirations might encounter hurdles.<o:p></o:p>

Known for its niche discussion groups, Reddit generates revenue primarily through advertising and offers premium access for a monthly fee. Despite its popularity, the platform has yet to turn a profit. <o:p></o:p>

Reddit CEO Steve Huffman acknowledged the losses, attributing them to investments in the platform and lower user engagement with advertising compared to other social media. <o:p></o:p>

The company held off on its IPO plans until it neared profitability, also navigating market volatility that disrupted IPOs in recent years.<o:p></o:p>

The IPO move comes after Reddit expected to generate over $800 million in advertising revenue in 2023, reflecting a 20 per cent increase from the previous year. <o:p></o:p>

While the company looks to tap into its vast user base for financial gains, it introduced charges for accessing its application programming interface (API), causing discontent among users relying on third-party apps. <o:p></o:p>

This strategic shift signals Reddit's effort to monetise its services beyond traditional advertising models.<o:p></o:p>

Despite Reddit's delayed profitability, the broader social media sector has experienced a rebound, driven by a rally in technology stocks. <o:p></o:p>

Meta Platforms, operating Facebook, witnessed a threefold surge in shares over the past 12 months, while Snap's shares rose by 60 per cent during the same period.<o:p></o:p>

(With inputs from Reuters)<o:p></o:p>

Social media giant Reddit is gearing up for its long-anticipated initial public offering (IPO) in March, marking the sector's first major debut since Pinterest in 2019.

Social media giant Reddit is gearing up for its long-anticipated initial public offering (IPO) in March, marking the sector's first major debut since Pinterest in 2019. This is based on a Reuters report. Reddit, valued at approximately $10 billion in a 2021 funding round, faces fierce competition from platforms like TikTok and Facebook for advertising revenue. The IPO would also be a litmus test for Reddit users' willingness to support the company's stock market entry, considering the platform's history of fuelling "meme" stock rallies. The San Francisco-based company, founded in 2005, plans to make its public filing in late February, initiate its roadshow in early March, and complete the IPO by the end of the same month. Reddit, seeking to sell about 10 per cent of its shares, will decide on the IPO valuation closer to the listing. While these plans could face delays, as seen in the past, sources caution that Reddit's IPO aspirations might encounter hurdles. Known for its niche discussion groups, Reddit generates revenue primarily through advertising and offers premium access for a monthly fee. Despite its popularity, the platform has yet to turn a profit. Reddit CEO Steve Huffman acknowledged the losses, attributing them to investments in the platform and lower user engagement with advertising compared to other social media. The company held off on its IPO plans until it neared profitability, also navigating market volatility that disrupted IPOs in recent years. The IPO move comes after Reddit expected to generate over $800 million in advertising revenue in 2023, reflecting a 20 per cent increase from the previous year. While the company looks to tap into its vast user base for financial gains, it introduced charges for accessing its application programming interface (API), causing discontent among users relying on third-party apps. This strategic shift signals Reddit's effort to monetise its services beyond traditional advertising models. Despite Reddit's delayed profitability, the broader social media sector has experienced a rebound, driven by a rally in technology stocks. Meta Platforms, operating Facebook, witnessed a threefold surge in shares over the past 12 months, while Snap's shares rose by 60 per cent during the same period. (With inputs from Reuters)

Reddit plans IPO launch in March amid intense social media competition

Reddit has unveiled plans for its Initial Public Offering (IPO) set for march. With the IPO countdown underway, Reddit aims to capture a portion of the advertising market amid the resurgence of social media stocks.

Reddit eyeing stock market debut, plans IPO amid fierce competition

Dubai Taxi Co. has set a record for investor demand in its $315 million initial public offering (IPO), securing over 150 billion dirhams ($41 billion) in orders, marking the highest oversubscription level ever for a Dubai IPO. <o:p></o:p>

According to Bloomberg, the IPO, Dubai's first privatisation in over a year, received overwhelming interest, with the institutional investor tranche nearly 135 times oversubscribed. The government of Dubai sold a 25 per cent stake, amounting to 624.75 million shares, at 1.85 dirhams each, the top end of the marketed range, valuing Dubai Taxi at 4.62 billion dirhams. Trading is set to commence on December 7.<o:p></o:p>

This demand for Dubai Taxi's IPO highlights the stark contrast between the thriving listings market in the Gulf region and the subdued global sentiment, marked by challenges such as high interest rates and market volatility over the past two years. The Gulf region, buoyed by elevated oil prices, robust local investor demand, and government initiatives to list state-owned companies, has become a hotspot for IPOs. <o:p></o:p>

Dubai, in particular, has outperformed, with its benchmark index surging 20 per cent this year, driven by a rise in property-related shares.<o:p></o:p>

The investor demand for Dubai Taxi's IPO contributes to the Gulf's standout performance in listings this year, with approximately $8.4 billion raised through IPOs in the region, accounting for over a third of the total listing volumes in Europe, the Middle East, and Africa.<o:p></o:p>

Dubai's success in raising $8.3 billion through stake sales in state-owned companies in 2022 underscores its commitment to listing state-owned entities, aligning with similar initiatives in Abu Dhabi and Riyadh. Dubai Taxi marks the city's second IPO of 2023, following the successful listing of Al Ansari Financial Services PJSC in March.<o:p></o:p>

Citigroup Inc., Emirates NBD Capital, and Bank of America Corp. are serving as joint global coordinators for the IPO, with Rothschild &amp; Co. acting as an independent financial adviser. <o:p></o:p>

(With inputs from Bloomberg)<o:p></o:p>

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Dubai Taxi Co. has set a record for investor demand in its $315 million initial public offering (IPO), securing over 150 billion dirhams ($41 billion) in orders, marking the highest oversubscription level ever for a Dubai IPO.

Dubai Taxi Co. has set a record for investor demand in its $315 million initial public offering (IPO), securing over 150 billion dirhams ($41 billion) in orders, marking the highest oversubscription level ever for a Dubai IPO. According to Bloomberg, the IPO, Dubai's first privatisation in over a year, received overwhelming interest, with the institutional investor tranche nearly 135 times oversubscribed. The government of Dubai sold a 25 per cent stake, amounting to 624.75 million shares, at 1.85 dirhams each, the top end of the marketed range, valuing Dubai Taxi at 4.62 billion dirhams. Trading is set to commence on December 7. This demand for Dubai Taxi's IPO highlights the stark contrast between the thriving listings market in the Gulf region and the subdued global sentiment, marked by challenges such as high interest rates and market volatility over the past two years. The Gulf region, buoyed by elevated oil prices, robust local investor demand, and government initiatives to list state-owned companies, has become a hotspot for IPOs. Dubai, in particular, has outperformed, with its benchmark index surging 20 per cent this year, driven by a rise in property-related shares. The investor demand for Dubai Taxi's IPO contributes to the Gulf's standout performance in listings this year, with approximately $8.4 billion raised through IPOs in the region, accounting for over a third of the total listing volumes in Europe, the Middle East, and Africa. Dubai's success in raising $8.3 billion through stake sales in state-owned companies in 2022 underscores its commitment to listing state-owned entities, aligning with similar initiatives in Abu Dhabi and Riyadh. Dubai Taxi marks the city's second IPO of 2023, following the successful listing of Al Ansari Financial Services PJSC in March. Citigroup Inc., Emirates NBD Capital, and Bank of America Corp. are serving as joint global coordinators for the IPO, with Rothschild & Co. acting as an independent financial adviser. (With inputs from Bloomberg) WATCH WION LIVE HERE

Dubai Taxi breaks records with $41 bn in orders for $315 mn IPO

Fashion company Shein has confidentially filed to go public in the United States. This has raised fresh questions on the alleged use of forced labour. Shein has also come under fire for allegedly stealing designs and selling cheap-quality clothes.

Gravitas: Controversial Shein files for US IPO

In a landscape shadowed by modest global growth forecasts for 2024, India emerges as a financial beacon, with its stock market poised for a remarkable surge. According to a Reuters poll of equity strategists, the Indian market is set to defy expectations, eyeing a substantial 10% rise by the end of 2024.

Bullish momentum

Despite a recent 3% dip, the benchmark BSE Sensex index, having touched an all-time high of 67,927.23 in September, continues to exhibit resilience. The index, up almost 8% for the year, signifies a robust performance in the face of uncertainties.

Analysts predict a notable upswing, with the BSE Sensex expected to gain over 6% from its current position, reaching a lifetime high of 70,000 by mid-2024. Looking further ahead, an additional 3.6% is forecasted, propelling the index to 72,500 by the close of 2024. A staggering 90% of analysts concur, underscoring the confidence in India's stock market hitting record highs in the next six months.

Driving forces behind growth

India's robust economic growth, currently the fastest among major economies, is pivotal in driving higher domestic equities. With an anticipated growth rate of over 6% in the next couple of years, India's economic momentum has catalysed stock market success. A unique aspect contributing to this surge is the rise of young Indian investors. The influx of these investors, coupled with better financial literacy and increased access to financial services, has seen a surge in mutual fund accounts from under 60 million in 2016 to over 150 million today.

In a year marked by earnings extending by more than 20%, analysts believe India's stock market is positioned for sustained growth. Reuters quoted Rajat Agarwal, Asia equity strategist at Societe Generale, who notes that while some moderation in growth is expected next year, India remains a well-favoured market due to its resilient growth and strong macro momentum.

Market insights and trends

In a noteworthy trend, value stocks are predicted to outperform growth stocks in the coming six months. This shift in preference is attributed to the expectation of high or rising interest rates. Reuters quoted Nishit Master, portfolio manager at Axis Securities, who emphasised that value st2in an environment where interest rates are expected to remain high, value stocks typically fare better.

While the BSE's current price-to-earnings ratio of 21.45 is second only to the U.S. S&amp;P 500 ratio of 23.11, the impressive run-up in domestic equity prices positions India as one of the best-performing markets. Despite the market's expensive valuation compared to regional peers and other major indices, the consensus remains strong among analysts, with nearly 90% predicting record highs in the coming six months.

Bottomline

India's stock market narrative unfolds against the backdrop of a global economy with conservative growth expectations. As the nation steers its financial course with confidence, the convergence of economic resilience, youthful investor vigour, and a shift towards value stocks propels India's stock market into a spotlight of optimism, challenging and outshining global trends.

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In a landscape shadowed by modest global growth forecasts for 2024, India emerges as a financial beacon, with its stock market poised for a remarkable surge. According to a Reuters poll of equity strategists, the Indian market is set to defy expectations, eyeing a substantial 10% rise by the end of 2024.

In a landscape shadowed by modest global growth forecasts for 2024, India emerges as a financial beacon, with its stock market poised for a remarkable surge. According to a Reuters poll of equity strategists, the Indian market is set to defy expectations, eyeing a substantial 10% rise by the end of 2024. Bullish momentum Despite a recent 3% dip, the benchmark BSE Sensex index, having touched an all-time high of 67,927.23 in September, continues to exhibit resilience. The index, up almost 8% for the year, signifies a robust performance in the face of uncertainties. Analysts predict a notable upswing, with the BSE Sensex expected to gain over 6% from its current position, reaching a lifetime high of 70,000 by mid-2024. Looking further ahead, an additional 3.6% is forecasted, propelling the index to 72,500 by the close of 2024. A staggering 90% of analysts concur, underscoring the confidence in India's stock market hitting record highs in the next six months. Driving forces behind growth India's robust economic growth, currently the fastest among major economies, is pivotal in driving higher domestic equities. With an anticipated growth rate of over 6% in the next couple of years, India's economic momentum has catalysed stock market success. A unique aspect contributing to this surge is the rise of young Indian investors. The influx of these investors, coupled with better financial literacy and increased access to financial services, has seen a surge in mutual fund accounts from under 60 million in 2016 to over 150 million today. In a year marked by earnings extending by more than 20%, analysts believe India's stock market is positioned for sustained growth. Reuters quoted Rajat Agarwal, Asia equity strategist at Societe Generale, who notes that while some moderation in growth is expected next year, India remains a well-favoured market due to its resilient growth and strong macro momentum. Market insights and trends In a noteworthy trend, value stocks are predicted to outperform growth stocks in the coming six months. This shift in preference is attributed to the expectation of high or rising interest rates. Reuters quoted Nishit Master, portfolio manager at Axis Securities, who emphasised that value st2in an environment where interest rates are expected to remain high, value stocks typically fare better. While the BSE's current price-to-earnings ratio of 21.45 is second only to the U.S. S&P 500 ratio of 23.11, the impressive run-up in domestic equity prices positions India as one of the best-performing markets. Despite the market's expensive valuation compared to regional peers and other major indices, the consensus remains strong among analysts, with nearly 90% predicting record highs in the coming six months. Bottomline India's stock market narrative unfolds against the backdrop of a global economy with conservative growth expectations. As the nation steers its financial course with confidence, the convergence of economic resilience, youthful investor vigour, and a shift towards value stocks propels India's stock market into a spotlight of optimism, challenging and outshining global trends. WATCH WION LIVE HERE

India's stock market predicted to hit record highs amid global caution

WION's Business Desk brings you this daily round up of global stories from the world of business and economy.&nbsp;

Pakistan clinches initial IMF approval, eyes $700 million boost for fiscal stability&nbsp;

With the International Monetary Fund's (IMF) preliminary clearance for the disbursement of the next loan tranche from a $3 billion bailout programme, Pakistan has reached a significant turning point in its economic recovery journey.

<a href="https://www.wionews.com/business-economy/pakistan-clinches-initial-imf-approval-eyes-700-million-boost-for-fiscal-stability-659140">Read more here</a>

EU reports significant drop in greenhouse gas emissions during second quarter&nbsp;

According to figures from Eurostat issued on Wednesday, the European Union (EU) saw a significant decline in greenhouse gas emissions during the second quarter of 2023 of more than 5 per cent

<a href="https://www.wionews.com/business-economy/eu-reports-significant-drop-in-greenhouse-gas-emissions-during-second-quarter-659145">Read more here</a>

Elon Musk denies speculations surrounding Starlink’s IPO in 2024

Tech billionaire Elon Musk has refuted reports that SpaceX is considering an IPO for Starlink, its satellite broadband company, by 2024. In response to a claim from Bloomberg News that was circulated on social media, Musk called it "false."

<a href="https://www.wionews.com/business-economy/elon-musk-denies-speculations-surrounding-starlinks-ipo-in-2024-659147">Read more here &nbsp;</a>

India faces unprecedented trade deficit in October, driven by soaring gold imports&nbsp;

India announced that its merchandise trade imbalance for October reached an all-time high of $31.46 billion, exceeding the $20.50 billion forecast by economists. A notable increase in gold imports throughout the holiday season was blamed for part of the shortfall, which had a major effect on the trade balance.

<a href="https://www.wionews.com/business-economy/india-faces-unprecedented-trade-deficit-in-october-driven-by-soaring-gold-imports-659182">Read more here &nbsp;</a>

Cisco lowers annual forecasts as demand slows

The massive technology company Cisco Systems changed its revenue and profit projections for the entire year on Wednesday, indicating a slowdown in the market for its networking equipment. Concerns about the difficulties the company faces were reflected in the approximately 11 per cent decline in the company's shares that followed the statement.

<a href="https://www.wionews.com/business-economy/cisco-lowers-annual-forecasts-as-demand-slows-659199">Read more here&nbsp;</a>

Economic struggles dampen holiday cheer for toy makers&nbsp;

As the holidays draw near, toy manufacturers throughout the world prepare for difficult times as consumers in the US and Europe put necessities over wants, which will affect the predicted spike in sales of seasonal toys.&nbsp;

<a href="https://www.wionews.com/business-economy/economic-struggles-dampen-holiday-cheer-for-toy-makers-659204  ">Read more here</a>

Navigating Complexity: Pentagon's Fiscal Audit reveals varied outcomes amid strategic advances

For Fiscal Year 2023, the Department of Defence (DoD) encountered a challenging environment in the complicated field of financial audits. A disclaimer of opinion was issued following the audit of the Department's consolidated financial statements, which represented a range of results for its several parts.

<a href="https://www.wionews.com/business-economy/navigating-complexity-pentagons-fiscal-audit-reveals-varied-outcomes-amid-strategic-advances-659210">Read more here</a>

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WION's Business Desk brings you this daily round up of global stories from the world of business and economy. Pakistan clinches initial IMF approval, eyes $700 million boost for fiscal stability With the International Monetary Fund's (IMF) preliminary clearance for the disbursement of the next loan tranche from a $3 billion bailout programme, Pakistan has reached a significant turning point in its economic recovery journey.

WION's Business Desk brings you this daily round up of global stories from the world of business and economy. Pakistan clinches initial IMF approval, eyes $700 million boost for fiscal stability With the International Monetary Fund's (IMF) preliminary clearance for the disbursement of the next loan tranche from a $3 billion bailout programme, Pakistan has reached a significant turning point in its economic recovery journey. Read more here EU reports significant drop in greenhouse gas emissions during second quarter According to figures from Eurostat issued on Wednesday, the European Union (EU) saw a significant decline in greenhouse gas emissions during the second quarter of 2023 of more than 5 per cent Read more here Elon Musk denies speculations surrounding Starlink’s IPO in 2024 Tech billionaire Elon Musk has refuted reports that SpaceX is considering an IPO for Starlink, its satellite broadband company, by 2024. In response to a claim from Bloomberg News that was circulated on social media, Musk called it "false." Read more here India faces unprecedented trade deficit in October, driven by soaring gold imports India announced that its merchandise trade imbalance for October reached an all-time high of $31.46 billion, exceeding the $20.50 billion forecast by economists. A notable increase in gold imports throughout the holiday season was blamed for part of the shortfall, which had a major effect on the trade balance. Read more here Cisco lowers annual forecasts as demand slows The massive technology company Cisco Systems changed its revenue and profit projections for the entire year on Wednesday, indicating a slowdown in the market for its networking equipment. Concerns about the difficulties the company faces were reflected in the approximately 11 per cent decline in the company's shares that followed the statement. Read more here Economic struggles dampen holiday cheer for toy makers As the holidays draw near, toy manufacturers throughout the world prepare for difficult times as consumers in the US and Europe put necessities over wants, which will affect the predicted spike in sales of seasonal toys. Read more here Navigating Complexity: Pentagon's Fiscal Audit reveals varied outcomes amid strategic advances For Fiscal Year 2023, the Department of Defence (DoD) encountered a challenging environment in the complicated field of financial audits. A disclaimer of opinion was issued following the audit of the Department's consolidated financial statements, which represented a range of results for its several parts. Read more here WATCH WION LIVE HERE

Wion Business Wrap | EU's greenhouse gas emissions, Starlink's IPO & more

Canada's largest stock exchange, the Toronto Stock Exchange (TSX), is grappling with an unprecedented dearth of initial public offerings (IPOs), while the prospects for improvement seems uncertain.&nbsp;

According to a Bloomberg report published on Thursday, only one company has successfully completed an IPO on the TSX this year, marking the first time such an occurrence has transpired since 1993. Lithium Royalty Corp., which raised C$150 million ($108 million) in March, is the sole venture to navigate the challenging IPO landscape in 2023.&nbsp;

Grant Kernaghan, Chief Executive at Citigroup Global Markets Canada, who played a pivotal role in the Lithium Royalty deal. told Bloomberg, "I don't think it's a coincidence that the one deal that got done is a lithium royalty company."&nbsp;

Historically, natural resources stocks have been a cornerstone of strength for the TSX. Kernaghan said that more battery metals companies will likely seek the TSX as a platform to raise capital, given&nbsp;the increasing investor interest in the energy transition.&nbsp;

Nevertheless, Lithium Royalty serves as a cautionary tale for both potential issuers and investors, with disappointing earnings and a dimming outlook for natural resources, especially concerning the sluggish recovery in China. The company's shares faced a challenging debut and have not managed to recover, closing at a 37 per cent decline from their IPO price.&nbsp;

The Canadian stock market, as a whole, confronts challenges, with the benchmark S&amp;P/TSX Composite Index reaching a one-year low in October. Despite the Bank of Canada's recent decision to keep interest rates steady, the swaps market projects a potential quarter-point cut only in the second half of the following year. &nbsp;

Bloomberg quoted Kernaghan as saying, "The problem is that right now, we have a lot of voices saying that interest rates are going to stay where they are." He suggested that unless a company owner is seeking an exit or another compelling reason drives a firm to sell shares, it makes sense to wait.&nbsp;

While Canadian IPOs have been scarce, some firms in the natural resources sector, such as Strathcona Resources Ltd. and Allied Gold Corp., have entered the market through reverse takeovers, where private companies acquire publicly traded entities and assume the stock listing. Additionally, several companies have chosen to go public via special purpose acquisition companies (SPACs) in recent years. Kernaghan noted that the SPAC boom in 2020 and 2021 exhausted the pipeline of companies with IPO potential in the near future.&nbsp;

Kernaghan further expressed a sense of optimism, stating that private equity firms are actively looking to divest their portfolio companies either through initial public offerings (IPOs) or sales. He reasoned by saying that these firms have made substantial investments, and these assets are currently held within their portfolios. Consequently, there is a growing expectation that these firms will become increasingly eager to bring these assets to the market.&nbsp;

John McKenzie, the CEO of TMX Group Ltd,&nbsp;which operates the TSX, also expressed optimism during an earnings call, suggesting that the exchange anticipates increased equity financings in the coming year, with approximately 1,500 prospects in its pipeline.

Notably, the TSX's most prominent upcoming deal is the planned spinoff of BlackBerry Ltd.'s Internet of Things business in 2024, estimated to fetch $1.7 billion. Citi's Kernaghan highlighted the significant expertise in the natural resource sector within Canada, which is expected to support demand for potential issuers.&nbsp;

(Inputs from Bloomberg)&nbsp;

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Canada's largest stock exchange, the Toronto Stock Exchange (TSX), is grappling with an unprecedented dearth of initial public offerings (IPOs), while the prospects for improvement seems uncertain.

Canada's largest stock exchange, the Toronto Stock Exchange (TSX), is grappling with an unprecedented dearth of initial public offerings (IPOs), while the prospects for improvement seems uncertain. According to a Bloomberg report published on Thursday, only one company has successfully completed an IPO on the TSX this year, marking the first time such an occurrence has transpired since 1993. Lithium Royalty Corp., which raised C$150 million ($108 million) in March, is the sole venture to navigate the challenging IPO landscape in 2023. Grant Kernaghan, Chief Executive at Citigroup Global Markets Canada, who played a pivotal role in the Lithium Royalty deal. told Bloomberg, "I don't think it's a coincidence that the one deal that got done is a lithium royalty company." Historically, natural resources stocks have been a cornerstone of strength for the TSX. Kernaghan said that more battery metals companies will likely seek the TSX as a platform to raise capital, given the increasing investor interest in the energy transition. Nevertheless, Lithium Royalty serves as a cautionary tale for both potential issuers and investors, with disappointing earnings and a dimming outlook for natural resources, especially concerning the sluggish recovery in China. The company's shares faced a challenging debut and have not managed to recover, closing at a 37 per cent decline from their IPO price. The Canadian stock market, as a whole, confronts challenges, with the benchmark S&P/TSX Composite Index reaching a one-year low in October. Despite the Bank of Canada's recent decision to keep interest rates steady, the swaps market projects a potential quarter-point cut only in the second half of the following year. Bloomberg quoted Kernaghan as saying, "The problem is that right now, we have a lot of voices saying that interest rates are going to stay where they are." He suggested that unless a company owner is seeking an exit or another compelling reason drives a firm to sell shares, it makes sense to wait. While Canadian IPOs have been scarce, some firms in the natural resources sector, such as Strathcona Resources Ltd. and Allied Gold Corp., have entered the market through reverse takeovers, where private companies acquire publicly traded entities and assume the stock listing. Additionally, several companies have chosen to go public via special purpose acquisition companies (SPACs) in recent years. Kernaghan noted that the SPAC boom in 2020 and 2021 exhausted the pipeline of companies with IPO potential in the near future. Kernaghan further expressed a sense of optimism, stating that private equity firms are actively looking to divest their portfolio companies either through initial public offerings (IPOs) or sales. He reasoned by saying that these firms have made substantial investments, and these assets are currently held within their portfolios. Consequently, there is a growing expectation that these firms will become increasingly eager to bring these assets to the market. John McKenzie, the CEO of TMX Group Ltd, which operates the TSX, also expressed optimism during an earnings call, suggesting that the exchange anticipates increased equity financings in the coming year, with approximately 1,500 prospects in its pipeline. Notably, the TSX's most prominent upcoming deal is the planned spinoff of BlackBerry Ltd.'s Internet of Things business in 2024, estimated to fetch $1.7 billion. Citi's Kernaghan highlighted the significant expertise in the natural resource sector within Canada, which is expected to support demand for potential issuers. (Inputs from Bloomberg) WATCH WION LIVE HERE

Toronto Stock Exchange grapples with unprecedented IPO drought. Here's why

Saudi Arabia's aviation landscape is buzzing with activity as the nation's largest airline, Saudi Arabian Airlines Corp., commonly known as Saudia, and shareholder Tarabot Air Cargo Services Ltd., aim to raise up to 2.54 billion riyals ($678 million) through the initial public offering (IPO) of SAL Saudi Logistics Services Co., a prominent cargo firm. This development marks the revival of Saudi Arabia's listing market, signalling a renewed investor interest, according to a report by Bloomberg.

As per a statement released on Monday, it was revealed that Saudia and Tarabot are jointly offering 24 million shares, equivalent to a 30 per cent stake, at a price range of 98 to 106 riyals per share, valuing SAL at a potential 8.48 billion riyals.

The bookbuilding phase for institutional investors is set to continue until October 1, while retail investors will have an opportunity to place orders from October 11 to October 13. Presently, Saudia holds a 70 per cent ownership stake in SAL, while Tarabot holds the remaining 30 per cent.

The timing of SAL's IPO coincided with the establishment of Lumi Rental Co., a vehicle rental business, and the hugely profitable $1.2 billion IPO of ADES Holding Co., an oil driller supported by Saudi Arabia's sovereign wealth fund, which generated orders totalling $76.5 billion. This increase in activity in the Saudi Arabian listing market comes after a comparatively quiet first half of the year, which was partly caused by a downturn in the nation's stock market.

The recent rally in crude oil prices and a 10 per cent increase in the Tadawul Index from its March low have contributed to the renewed confidence in the Saudi Arabian listing market. Saudi Arabia's ambitious plans to become a global supply chain hub and develop one of the world's largest airports in Riyadh further fuel investor optimism.

SAL holds a dominant position in Saudi Arabia's cargo handling sector, boasting a market share of approximately 95 per cent. The company specialises in handling cargo, transit, and export shipments. In 2022, SAL reported revenue of 1.22 billion riyals ($325 million) and a net income of 362 million riyals. The company continued its strong performance in the first half of 2023, achieving a 15 per cent year-on-year revenue growth.

HSBC Holdings Plc's Saudi unit has been appointed as the sole financial advisor, bookrunner, global coordinator, lead manager, and underwriter for the IPO, underscoring the significance of this offering in Saudi Arabia's evolving economic landscape.

(With inputs from Bloomberg)

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Saudi Arabia's aviation landscape is buzzing with activity as the nation's largest airline, Saudi Arabian Airlines Corp., commonly known as Saudia, and shareholder Tarabot Air Cargo Services Ltd.

Saudi Arabia's aviation landscape is buzzing with activity as the nation's largest airline, Saudi Arabian Airlines Corp., commonly known as Saudia, and shareholder Tarabot Air Cargo Services Ltd., aim to raise up to 2.54 billion riyals ($678 million) through the initial public offering (IPO) of SAL Saudi Logistics Services Co., a prominent cargo firm. This development marks the revival of Saudi Arabia's listing market, signalling a renewed investor interest, according to a report by Bloomberg. As per a statement released on Monday, it was revealed that Saudia and Tarabot are jointly offering 24 million shares, equivalent to a 30 per cent stake, at a price range of 98 to 106 riyals per share, valuing SAL at a potential 8.48 billion riyals. The bookbuilding phase for institutional investors is set to continue until October 1, while retail investors will have an opportunity to place orders from October 11 to October 13. Presently, Saudia holds a 70 per cent ownership stake in SAL, while Tarabot holds the remaining 30 per cent. The timing of SAL's IPO coincided with the establishment of Lumi Rental Co., a vehicle rental business, and the hugely profitable $1.2 billion IPO of ADES Holding Co., an oil driller supported by Saudi Arabia's sovereign wealth fund, which generated orders totalling $76.5 billion. This increase in activity in the Saudi Arabian listing market comes after a comparatively quiet first half of the year, which was partly caused by a downturn in the nation's stock market. The recent rally in crude oil prices and a 10 per cent increase in the Tadawul Index from its March low have contributed to the renewed confidence in the Saudi Arabian listing market. Saudi Arabia's ambitious plans to become a global supply chain hub and develop one of the world's largest airports in Riyadh further fuel investor optimism. SAL holds a dominant position in Saudi Arabia's cargo handling sector, boasting a market share of approximately 95 per cent. The company specialises in handling cargo, transit, and export shipments. In 2022, SAL reported revenue of 1.22 billion riyals ($325 million) and a net income of 362 million riyals. The company continued its strong performance in the first half of 2023, achieving a 15 per cent year-on-year revenue growth. HSBC Holdings Plc's Saudi unit has been appointed as the sole financial advisor, bookrunner, global coordinator, lead manager, and underwriter for the IPO, underscoring the significance of this offering in Saudi Arabia's evolving economic landscape. (With inputs from Bloomberg) WATCH WION LIVE HERE

Saudi Arabia's SAL Cargo Firm targets $678 million in landmark IPO with Saudia Airlines

All shares of SAL Saudi logistics services' IPO in Riyadh were taken up within hours of books opening on the sale, in an indication of continued investor appetite for listings in the kingdom.

Saudi cargo powerhouse SAL's IPO generates $678 million surge

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