One of the more interesting developments in the financial markets this year has been the number of so-called “unicorns” that have completed their IPOs. Among others, Uber, Lyft and Pinterest made their debut in recent weeks. Some of these companies have stumbled as they began trading, and indeed some have already been sued in securities class action lawsuits (as I noted here with respect to Lyft). Among the companies completing IPOs in recent weeks is Jumia Technologies AG, an African e-commerce platform that has been called Africa’s first unicorn, whose American Depositary Shares began trading on the NYSE on April 12, 2019. Even though Jumia’s securities have been trading barely a month, the company has been hit with a securities lawsuit, following a short-seller’s report about the company.
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stockmarketticker2The IPO market in the U.S. is off to a slow start in 2016; according to Renaissance Capital, only eight offerings have priced so far this year, through March 29, 2016. The IPO slowdown actually began in the second half of 2015, when market volatility and stock price declines encouraged some prospective IPO companies to stay on the sidelines rather than complete their planned offering. But while the number of IPOs in 2015 declined compared to the immediately preceding years, there still were a number of interesting IPO trends during 2015, as detailed in a March 24, 2016 report from the Wilmer Hale law firm entitled “2016 IPO Report” (here). As discussed below, the report describes a number of the important characteristics of the 2015 IPOs. The report also contains some interesting discussion of the attributes of successful IPOs and an overview of the potential liabilities of directors of IPO companies.
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ey2014 was a very strong year for IPOs globally, but in the U.S., where there were more IPOs this year than any year since 2000, this was an “exceptional” year, according to the latest quarterly global IPO report from accounting and consulting firm EY. The report, entitled “EY Global IPO Trends: 2014 Q4” can be

stockmarketticker2One of the more interesting recent developments in the D&O liability arena has been the emergence of issues surrounding fee-shifting bylaws. As readers will recall, in May 2014, the Delaware Supreme Court in the ATP Tours case upheld the validity of a non-stock corporation’s bylaw imposing attorneys’ fees on an unsuccessful claimant in an intra-corporate

roadDue to a combination of favorable circumstances, the number of companies completing initial public offerings is currently at the highest level in years. According to a recent study from Cornerstone Research (here), with the 112 IPOs in the first half of 2014, IPO activity is on pace to increase for the third consecutive

Led by Twitter’s successful offering earlier this year, IPO activity in the U.S. during 2013 has been at its highest levels since 2007. While the listing activity seems to bode well for the general economy as well as for the financial markets, the increased number of IPOs has also led to an uptick in IPO-related

A year ago, President Obama signed the Jumpstart Our Business Startups (JOBS) Act, a legislative product of rare bipartisan collaboration that was intended to improve employment and make it easier for smaller firms to raise private equity. (For an overview of the Act’s provisions, refer here.) Twelve months later, many of the rules needed

I am pleased to publish below a guest post written by Paul A. Ferrillo of the Weil Gotshal and Manges law firm. Paul’s guest post identifies the liability exposures that IPO companies and their directors and officers face, and describes the insurance considerations the companies should address in confronting those exposures. Paul’s article was first printed