Europe's Emphasis on Profitable IPOs for Tech Startups

By
Mercedes Silva López
1 min read

What Happened:

Bank of America Corp stated that profitability remains essential for initial public offerings (IPOs) in Europe, even for technology startups.

Key Takeaways:

  • Profitability is crucial for IPOs in Europe, including tech startups.
  • Jerome Renard, head of EU ECM at BofA, stated that pre-break-even tech companies are not ready for IPOs yet.

Analysis:

The emphasis on profitability for tech startups indicates a conservative approach to IPOs in Europe, potentially impacting the entry of pre-break-even companies into the market. This approach may reflect the cautious investor sentiment and the focus on sustainable businesses.

Do You Know?

  • IPO: Initial Public Offering
  • ECM: Equity Capital Markets
This article is submitted by our user under the News Submission Rules and Guidelines.The cover photo is computer generated art for illustrative purposes only; not indicative of factual content.

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