Facebook’s decision to defer an IPO creates an opportunity for other Web 2.0 companies to tag along under Facebook’s valuation umbrella in the public markets. LinkedIn is reported to be the closest to filing for an IPO, but several should get set to follow. And investors ought to beware.
Bankers face a delicate task: telling their venture-backed clients that they’re not Facebooks. Despite the egos involved, not every company has 500 million users, $2 billion in revenue, a $50 billion valuation and the ability to draw $2 billion privately from Goldman Sachs Group.
To read the full, original article click on this link: Bankers To Venture-Backed Clients: You’re Not Facebook - Venture Capital Dispatch - WSJ
Author: Peter Gallagher
