Tech start-up leaders have to wow IPO audiences – so can Razer’s Tan Min-Liang dress and talk with the swagger of Steve Jobs?
HK investors love IPO chasing, putting their money to work in a low-yield environment, hoping to trade “X” into “2X” as soon as possible. Investors should think differently about tech firms
Investors have not considered the historical quagmire that has plagued many technology companies – the risk of migrating from their existing to a completely new technology platform.
It’s almost impossible to quantify and judge if a young or old firm can make it; even the most experienced venture capital firms can’t determine the outcome of a big bet on the future.
On Friday Razer – a US and Singapore-based, gaming hardware and software developer – priced its IPO at HK$3.88 per share, with a demand of 291 times the number of offered shares to the public.
Razer’s IPO price gave it a market cap of approximately HK$34.4 billion. The global offering price values the IPO at HK$4.1 billion (US$526 million).
It’s shares are set to debut on the Hong Kong stock exchange on Monday.
HK investors love IPO chasing, putting their money to work in a low-yield environment, hoping to trade “X” into “2X” as soon as possible. Investors should think differently about technology companies.