Are these celebs the next Wall Street darlings?
Alba, co-founder of natural-baby products empire Honest Co., is hoping to take her company public at a $1.7 billion valuation, according to a report. A successful IPO could smooth the way for other celebrity-backed brands — even in an ugly market.
But some market observers remain skeptical about an Honest Co. IPO, given the slumping markets. Last month didn’t see any tech IPOs — the first January that has happened since 2009, during the financial crisis, according to Renaissance Capital.
“Maybe having a Hollywood star attached to your company overcomes all this stuff that no one else can overcome,” said Rett Wallace, chief executive of Triton Research, a New York firm focused on tech IPOs. “But what’s their competitive advantage and defensible position in the baby powder business?”Read full article at nypost.com