IPO’s: 2010 the Year that Wasn’t

The list of companies in registration for an IPO is sobering.  A handful of pharmaceutical-related, oil and gas and your standard industrial fare.  There are two tech-related IPO’s:  Peregrine Software and Kayak.  Arguably, Kayak, filed November 17th, is the much higher profile of the two.  Kayak’s sales are $112 million, with a profit of $6.9 million  Kayak’s stock offering should fly out the window.  Peregrine Software is a company that I worked with in the late 1990’s.  It’s survival is a testimony determination and strength of will of the investors and management.  Current sales are approximately $70 million with an $7.9 million loss.

The lack of IPO’s is structural in nature.  In the past decades, IPO’s were always present in good times and bad.  At worst there may have been a couple of month moratorium.  Nothing like today’s environment.

Hopefully, at some point Congress will see all the good that tech stocks and IPO’s have brought to our economy an d this country, and see past the few very rotten apples that have soured the environment for all.  This country needs fewer regulations and less bureaucracy.  To enforce the laws that are on the books rather than creating new ones to respond to every crisis.