Initial public offerings (IPO)

Slack proves that direct listings WORK

Slack logo.
Illustration: Aïda Amer/Axios

Slack went public this week via the most elegant and efficient way possible — a direct listing. The opening auction of the stock cleared around noon on Thursday, at a price of $38.50. It then traded smoothly, under the ticker symbol WORK, for the rest of the week within a pretty narrow range between $36.50 and $42.

Why it matters: No one received preferential treatment. There was no possibility of the kind of scandalous behavior whereby banks like Goldman Sachs receive millions of dollars' worth of kickbacks from clients they place into hot IPOs.

Medallia files for IPO

Medallia, a Silicon Valley subscription-based software company that competes with the likes of SurveyMonkey and Qualtrics, on Friday filed to go public on the NYSE under the ticker symbol “MDLA."

The bottom line: Mediallia is still unprofitable, with a net loss of $82.2 million on $313.6 million in revenue for the year ending January 31, 2019. But enterprise software IPOs so far this year have done well, despite IPO activity having slowed.

Go deeper: Despite big headlines, IPO activity has slowed in 2019