Slack is going public, but it’s not an IPO

by in Cryptocurrency News

Slack is going public, but it’s not an IPO

All people who use or used Slack in their life divide into two categories: once, who think that it’s one of the best tools for messaging and once, who thinks that it’s just a bunch of notifications coming straight to their face 24/7.

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No matter which category is your, it’s obvious that Slack is doing really good and it has over 10 million users and messages every day.

So, June 20 is a big day for Slack, as it’s finally selling its shares to the public. The price will value Slack approximately $16 billion. But it’s not a traditional IPO as the company wants to bypass big charges that come with underwriting banks, instead Slack lists its shares directly on the New York Stock Exchange at an expected $26 per share. Slack’s shares are marked under the stock symbol “WORK”. This way of share trading is known as a direct public offering (DPO).

So, in this case, you will have an opportunity to trade the shares that are not freshly issued, but instead, you will trade the shares that are used to generate cash and will be something that is originally available to the public.

This shows that Slack is not going to raise any cash for its business, the price $26 for a share indicates that soon the company will be valued at almost $16 billion. This number is twice more its valuation last year, which equalled $7 billion.