There have been two fairly high-profile IPOs recently and both have disappointed on the market.
Firstly, Funding Circle whose shares are down 10% from opening, albeit at one point they were down over 20%.
Secondly, Aston Martin, who are down almost 20% since the IPO. It appears that the company were hoping to obtain the ‘higher’ value from the nature of the brand, rather than the financial fundamentals of the business, which did not support such a high valuation.
Both businesses were looking for values considerably higher than they achieved.