Friday, June 15, 2012
Goldman Sachs: Internet IPO Window May Be Closed Until After Labor Day
Goldman Sachs' co-head of investment banking for global telecommunications, media and technology Anthony Noto said tonight that he'd be surprised if there's another IPO for an Internet company before Labor Day. Facebook's controversial offering has already shelved other deals from companies like Kayak, as public investors have driven down the value of newer consumer web companies. Facebook is now is at $28.23 in after-hours trading, down from the $42.05 price it opened at last month. Zynga is now worth $3.7 billion, down from the $14 billion valuation it commanded from private investors in February of 2011. "If you go public now, you have to have a high quality company that doesn't have a business model in transition. If you haircut the estimates and haircut valuation, you can go public," Noto said at the F.ounders conference in New York today.