VC-Backed IPOs Trading Below Cash
Ok, so we all know it’s an awful public market for growth technology and biotech companies. But the full force of just how awful didn’t quite hit home until this morning, when I repeated an exercise last performed as a tech reporter during the dotcom crash: Checking to see how many VC-backed companies that went public in the last two years are now trading below cash value. The answer: Lots.I just got through the B’s in my alphabetical order scan, and came up with three: Authentec is profitable, has $62 million in cash, no debt, and a $42 million market cap, according to Yahoo Finance, which uses last quarterly figures. Bioform Medical has $50 million in cash, $86,000 in debt, and a market cap of $37 million Biodel has $92 million cash on hand, no debt, and a $58 million market cap. Skipping down to the Gs I found perhaps the most dramatic crash-and-burn, Glu Mobile. Shares in the
