The year 2024 is shaping up to be a banner year for Initial Public Offerings (IPOs), particularly in the tech sector. After a strong showing in the latter half of 2023, investor sentiment remains bullish, and a healthy pipeline of exciting startups is primed to go public.
The IPO market is a fascinating space where private companies raise capital from the public by selling shares on a stock exchange. A successful IPO can be a transformative event for a startup, allowing it to scale operations, fuel growth, and potentially reward early investors. For investors, upcoming IPOs in 2024 present an opportunity to get on the ground floor of promising companies with the potential for high returns.
Read In Short:
- Tech giants like Databricks and UiPath are lining up to go public, alongside exciting newcomers like Ola Electric in India.
- Investors are eyeing opportunities in high-growth areas like artificial intelligence (AI), e-commerce, and automation with robotic process automation (RPA).
- Blockbuster IPOs like Swiggy in India and potentially ByteDance are generating significant buzz.
- 2024 is shaping up to be a banner year for the IPO market.
- This presents exciting opportunities for investors seeking a piece of the action.
Table of Content
Databricks
- Industry: Cloud-based AI and Data Management
- IPO Status: High Probability
- Valuation: $43 billion
- Funding Raised: $4.18 billion
- USP: Leader in Big Data analytics
Databricks is a frontrunner in the field of Big Data, offering a powerful cloud-based platform that simplifies data management and unlocks the potential of Artificial Intelligence. Their comprehensive suite of tools empowers businesses to collect, store, analyze, and leverage vast amounts of data to gain valuable insights, improve decision-making, and fuel innovation. With a strong track record of funding and a leading position in the data revolution, Databricks’ upcoming IPO is sure to be a major event in the tech sector. Investors are eagerly awaiting the opportunity to invest in this industry leader.
UIPath
- Industry: Robotic Process Automation (RPA)
- IPO Status: High Probability
- Valuation: Estimated at $13 billion (as of April 12, 2024)
- Funding Raised: Over $2 billion
- USP: Leading provider of enterprise Robotic Process Automation solutions
UiPath is a pioneer in Robotic Process Automation (RPA) technology. RPA automates repetitive, manual tasks typically performed by humans, freeing up employees to focus on more strategic work. UiPath’s software platform allows businesses to build, deploy, and manage software robots (bots) that can handle tasks like data entry, form filling, and customer service interactions. With a dominant market share and a proven track record of helping companies improve efficiency and productivity, UiPath’s IPO is highly anticipated. While their initial lofty valuation has adjusted in recent months, a successful offering could solidify UiPath’s position as a leader in the rapidly growing RPA market.
Flipkart
- Industry: E-commerce
- IPO Status: High Probability
- Valuation: $35 billion (as of January 31, 2024)
- Funding Raised: Over $11 billion
- USP: Leading Indian e-commerce platform with a strong focus on affordability and logistics
Flipkart is a dominant force in the Indian e-commerce landscape, offering a vast selection of products across categories like electronics, fashion, homeware, and groceries. The company is known for its focus on affordability and convenience, providing competitive pricing and efficient delivery services across India. While Flipkart experienced a valuation decline in early 2024 due to the demerger of its fintech arm PhonePe, it remains a major player in the rapidly growing Indian e-commerce market. A successful IPO could provide Flipkart with the capital needed to further expand its reach and solidify its position as the leading e-commerce platform in India.
Discord
- Industry: Communication Platform
- IPO Status: High Probability
- Valuation: Estimated at $14 billion (as of December 2023)
- Funding Raised: Nearly $1 billion
- USP: Community-focused communication platform for gamers and online communities
Discord has carved a niche as a popular communication platform, particularly for gamers and online communities. It offers features like voice chat, video calls, text messaging, and file sharing, allowing users to connect and collaborate in real time. Unlike traditional social media platforms, Discord fosters a strong sense of community, with servers dedicated to specific interests and hobbies. This focus on community building has attracted a loyal user base, making Discord a prime candidate for a successful IPO. With a strong valuation and a passionate user base, Discord’s public offering is likely to garner significant investor interest.
SpaceX
- Industry: Private Space Exploration
- IPO Status: Unconfirmed (Strong Speculation)
- Valuation: Estimated at over $100 billion (as of March 2024)
- Funding Raised: Over $33 billion
- USP: Pioneering reusable launch vehicles and Starlink satellite internet constellation
SpaceX, led by visionary entrepreneur Elon Musk, is a leader in the private space exploration industry. Renowned for developing reusable rockets like the Falcon 9 and Starship, SpaceX has revolutionized spaceflight by significantly reducing launch costs. Beyond transportation, SpaceX is also building the Starlink constellation, a network of satellites providing internet access to remote and underserved areas. While an official IPO announcement is awaited, SpaceX’s achievements, ambitious goals, and massive valuation make it one of the most anticipated potential public offerings in recent history. A successful IPO could provide SpaceX with the capital needed to further accelerate its ambitious space exploration and internet connectivity endeavors.
GitLab
- Industry: DevOps Software
- IPO Status: Publicly Traded (October 14, 2021)
- Valuation: Not applicable (Currently public company – Market Cap: $11.2 Billion as of April 12, 2024)
- Funding Raised: $1.8 billion (prior to IPO)
- USP: Open-source foundation for a comprehensive DevOps platform
While GitLab was not expected to be included in the list of upcoming IPOs for 2024, it’s a noteworthy player in the tech sector. GitLab had a successful IPO in October 2021, raising over $800 million. They offer a comprehensive DevOps platform that combines version control, collaboration tools, and continuous integration and continuous delivery (CI/CD) functionalities. Notably, GitLab is built on an open-source foundation, fostering a strong developer community and attracting users who value transparency and customization. As a publicly traded company, GitLab’s market cap currently sits around $11.2 billion, and its continued growth and innovation within the DevOps space are worth keeping an eye on.
Chime
- Industry: Fintech (Financial Technology)
- IPO Status: Potential in 2025 (as of March 25, 2024)
- Valuation: $25 billion (as of August 2021)
- Funding Raised: Over $2.8 billion
- USP: Neobank offering mobile-first banking services with lower fees
Chime is a leading neobank, disrupting the traditional financial services industry by offering mobile-centric banking solutions without the high fees often associated with brick-and-mortar banks. They provide features like checking and savings accounts, debit cards, and bill pay, all accessible through a user-friendly mobile app. While an IPO announcement is not confirmed, there have been strong speculations about a potential public offering in 2025. Chime’s significant user base, particularly those who value convenience and lower fees, positions them well for a successful IPO. However, the exact valuation at the time of the offering might differ from the $25 billion valuation set in 2021 due to market fluctuations.
Instacart
- Industry: Online Grocery Delivery
- IPO Status: Publicly Traded (June 30, 2023)
- Valuation: Not applicable (Currently public company – Market Cap: $22.4 Billion as of April 12, 2024)
- Funding Raised: $6.5 billion (prior to IPO)
- USP: Leading online grocery delivery platform with a vast network of retailers
Similar to GitLab, Instacart is already a publicly traded company. They had a successful IPO in June 2023, raising over $2.6 billion. Instacart is a leader in the online grocery delivery space, partnering with a vast network of retailers to deliver groceries directly to consumers’ doorsteps. Their user-friendly platform allows customers to browse and order from a wide selection of groceries, with options for convenient delivery scheduling. As a publicly traded company, Instacart’s market cap currently sits around $22.4 billion. Their continued performance and innovation in the rapidly growing online grocery market will be of interest to investors.
Swiggy
- Industry: Food Delivery
- IPO Status: High Probability (Expected in Mid-2024)
- Valuation: Estimated at $10-12.7 billion (as of April 2024)
- Funding Raised: Over $5.4 billion
- USP: Dominant food delivery platform in India with a focus on convenience and variety
Swiggy is a leading food delivery giant in India, revolutionizing the way people eat. Their user-friendly app allows customers to browse menus from a vast network of restaurants, order food online, and enjoy convenient delivery at their doorstep. Swiggy boasts a strong presence in major Indian cities and offers a wide variety of cuisines, making it a popular choice for consumers. The company is actively preparing for an IPO in mid-2024, with a valuation estimated between $10 billion and $12.7 billion. A successful IPO could provide Swiggy with the capital needed to further expand its reach, strengthen its market position, and potentially venture into new areas within the food delivery and related sectors.
Ola Electric
- Industry: Electric Vehicles (EVs)
- IPO Status: High Probability (Expected in Late 2024)
- Valuation: Estimated at $5.4 – $8 billion (as of April 2024)
- Funding Raised: Over $1.5 billion
- USP: Pioneering Indian electric scooter manufacturer with focus on affordability and sustainability
Ola Electric is a frontrunner in India’s electric vehicle revolution, specializing in the production of electric scooters. The company, an offshoot of the ride-hailing giant Ola, aims to offer a sustainable and affordable alternative to traditional gasoline-powered vehicles. Their flagship scooter, the S1, has garnered significant interest in the Indian market due to its competitive pricing and sleek design. With a potential IPO on the horizon in late 2024, Ola Electric is poised to capitalize on the growing demand for EVs in India. A successful IPO could provide them with the resources needed to ramp up production, expand their product line, and solidify their position as a leader in the Indian EV landscape.
ByteDance (TikTok)
- Industry: Social Media (Short-form Video)
- IPO Status: Unconfirmed (Strong Speculation for TikTok Global)
- Valuation: Estimated at $275 billion(as of March 2024)
- Funding Raised: Over $136 billion
- USP: Hugely popular short-form video platform (TikTok) with a massive global user base
ByteDance, the parent company of the social media phenomenon TikTok, is a powerhouse in the tech industry. While an official IPO announcement is awaited, there’s strong speculation about a potential public offering for TikTok Global, a separate entity focusing on the app’s international operations. ByteDance itself boasts a staggering valuation of $275 billion, fueled by the immense popularity of TikTok.
TikTok’s unique format of short, engaging videos has captured the attention of billions of users worldwide. The platform allows for creative expression, entertainment, and community building, making it a dominant force in social media. A potential IPO for TikTok Global could be one of the largest in history, offering investors a chance to capitalize on the app’s immense popularity and growth potential. However, factors like geopolitical tensions and regulatory hurdles could influence the timing and structure of the offering.
Conclusion
In conclusion, 2024 is shaping up to be a banner year for Initial Public Offerings (IPOs), particularly in the tech sector. From established players like Databricks and UiPath to exciting newcomers like Ola Electric, a wave of innovative companies are poised to go public. Investors are eagerly eyeing these upcoming IPOs, seeking opportunities in artificial intelligence (AI), robotic process automation (RPA), e-commerce, and other high-growth sectors. With the potential for blockbuster offerings like Swiggy and ByteDance (TikTok), this year promises to be a landmark year for the IPO market. Whether you’re a seasoned investor or just starting, following these hot tech IPOs is sure to be a thrilling ride.
Startups To Launch IPOs This Year – FAQs
What is an IPO?
An Initial Public Offering (IPO) is the first time a private company offers its shares to the public on a stock exchange.
What is the future prediction for IPO?
The future of IPOs in 2024 and beyond is predicted to be strong, particularly in the tech sector.
Which is the best IPO to buy?
Determining the “best” IPO depends on your investment goals and risk tolerance. Research each company thoroughly before investing.
Which IPO has the highest return?
It’s impossible to predict which IPO will have the highest return. Analyze financials, market trends, and expert opinions before investing.
Is 2024 a good year for IPO?
2024 is expected to be a good year for IPOs, with many high-growth tech companies potentially going public.
What is the most popular month for IPO?
Historically, there isn’t a single most popular month for IPOs. Filings can happen throughout the year, but some data suggests a slight increase in the spring and fall.