Outbrain completes Nasdaq IPO at disappointing $1.12 billion valuation
The Israeli internet recommendation company raised $160 million at $20 per share, significantly lower than the $24-26 it was targeting that would have valued the company at $1.4 billion
Outbrain completed its IPO on Thursday, raising $160 million at a $1.12 billion valuation. The internet recommendation company had announced last week that it planned to raise approximately $200 million at a $1.4 billion valuation in its initial public offering on Nasdaq. However, its hope of selling 8,000,000 shares at a price of between $24-26 per share proved to be unrealistic, and it had to settle for a much lower valuation, especially considering it was hoping for a $2 billion valuation earlier this year.Outbrain announced earlier this month that it had secured $200 million in funding from Boston-based investment manager The Baupost Group. The Baupost Group is a Boston-based investment manager which manages roughly $31 billion, investing in a wide range of asset classes, including significant holdings in publicly traded debt and equity securities, private debt, real estate, and private equity. CEO and Portfolio Manager Seth Klarman has overseen Baupost’s investments from the company’s inception in 1982.