Direct Listings Are Gaining Steam – Do They Make Better Investments, Too?

An unconventional way of going public is gaining momentum. At a recent event in San Francisco, leading venture capitalists and entrepreneurs gathered with the goal of urging more private companies to pursue direct listings — a rare form of public offering that bypasses the typical IPO process of working with investment banks to underwrite shares. Spotify (SPOT – Get Report)  and Slack (WORK) are the two best-known companies to have pursued direct listings in recent years. In its planned 2020 public offering, Airbnb is also considering a direct listing — and…