Secondaries Seize Up
Public market woes continue to bleed into startup-land as big name secondaries like Stripe tumble as much as 40% from highs earlier in the year. In the first quarter of this year, secondary market broker Forge processed 596 trades, down 61% form the same period in 2021.
“There’s a disconnect between what the buyers are willing to buy at and what the sellers are willing to sell at.” - Forge Chief Operating Officer Jose Cobos
There seems to be a bit of a standoff happening as buyers and sellers wait to see who will concede. Sellers are having a hard time coming to terms with the market and are looking at offers that would have been nothing short of disrespectful a few months ago. Meanwhile, big buyers are waiting on the sidelines to see where things land before they make their move.