The three most important IPOs of 2018

2018 was a standout year in the IPO landscape, marked by significant debuts across various sectors, notably technology and biotech. High-profile companies like Spotify, Dropbox, and DocuSign went public, capturing investor interest with their innovative business models and growth potential. The year was characterized by a diverse range of companies entering the public market, reflecting broader economic optimism and investor readiness to embrace new industries and technologies. This period underscored the evolving nature of the global market, highlighting the increasing importance of digital and cloud-based solutions. For more detailed insights, exploring specific analyses and reports on the 2018 IPO market would provide a deeper understanding of the trends and outcomes of that year. Disagree with us? Here’s a full list or companies that had their IPO in 2018.

Spotify IPO

Spotify is a leading music streaming service that offers a wide range of music, podcasts, and videos from artists all over the world. It provides both free and premium subscription options, allowing users access to millions of tracks and content with the ability to create playlists, discover new music, and share tracks with friends. Spotify’s platform is designed for seamless music discovery and personalized listening experiences, making it a popular choice among users globally for streaming their favorite audio content.

Spotify chose a direct listing for its 2018 debut on the New York Stock Exchange, an unconventional approach bypassing the traditional IPO process. This method allowed Spotify to go public without issuing new shares, thereby avoiding the underwriting fees associated with a standard IPO. The direct listing enabled existing Spotify shareholders to sell their shares directly to the market, offering a more immediate and market-driven price determination without the typical IPO lock-up period constraints.

Spotify’s direct listing was significant because it allowed the company to enter the public market without the traditional underwriting process, enabling existing shares to be sold directly to the public. This method was chosen over a traditional IPO to provide immediate liquidity for shareholders and to reflect a more market-driven price discovery for Spotify’s shares. The move was seen as innovative, reflecting Spotify’s desire for transparency and efficiency in accessing the public markets.

DocuSign IPO

DocuSign is a company that specializes in electronic agreements and signatures, offering solutions that enable individuals and businesses to manage electronic agreements. Its platform automates the entire agreement process, from creating and signing to enacting and managing contracts digitally. This innovation streamlines how contracts are handled across a wide range of industries, improving efficiency and reducing the need for paper-based processes. DocuSign’s services are utilized globally, reflecting its broad acceptance and integration into various business operations and daily activities.

The DocuSign IPO in April 2018 was a significant event, showcasing strong investor interest in the company’s electronic signature and digital transaction management services. Launching on the NASDAQ under the symbol “DOCU,” the company’s shares saw a considerable increase in value on their first trading day. This performance reflected the market’s confidence in DocuSign’s potential to capitalize on the growing demand for digital document management solutions, affirming its leading position in a space that’s becoming increasingly vital for businesses worldwide.

Moderna IPO

Moderna is a biotechnology company focused on drug discovery and drug development based on messenger RNA (mRNA). It leverages mRNA technology to spur the body’s cells to produce proteins that could prevent, treat, or cure diseases. Moderna has been in the spotlight for its rapid development of an mRNA-based vaccine for COVID-19, which has played a crucial role in global vaccination efforts against the pandemic.

mRNA, or messenger RNA, is a type of RNA that carries genetic information from DNA to the cell’s machinery responsible for making proteins. These proteins can perform a variety of functions in the body, from catalyzing metabolic reactions to fighting infections. In vaccines, mRNA is used to instruct cells to produce a protein associated with a particular pathogen, training the immune system to recognize and combat the real virus without exposing the body to the disease

Moderna’s IPO, conducted in December 2018, was one of the largest biotech IPOs at the time, raising about $600 million. The company, known for its work in messenger RNA (mRNA) technology, aimed to use the funds to further its research and development efforts, particularly in creating mRNA-based therapies and vaccines. This funding event was a significant milestone for Moderna, setting the stage for its later pivotal role in developing a COVID-19 vaccine.