DISCUSS IS
JEFF GAS. THE THING YOUR EQUITY
STRATEGIST FOR WEALTH PRESS
THAT COM GREAT TO HAVE YOU ON
THIS MORNING, IF YOU THINK THAT
THESE COMPANIES COULD SEE
UPSIDE BENEFIT LIKE OTHERS WHO
HAVE GONE PUBLIC THE U.S. BACK.
>> YEAH, JOE MOST CERTAINLY
IN THIS SORT TRADING
ENVIRONMENT IN WHICH YOU KNOW
PEOPLE ARE MORE THAN HAPPY
TO TAKE. LOTS OF LOTS OF REST
TO ODDLY I WOULD SAY
ABSOLUTELY AND FROM THE
PERSPECTIVE YOU KNOW PRIVATE
EQUITY FIRM AND THE GROUPS THAT
CONTROL COMPANIES
LIKE THESE. THIS IS A PERFECT
TIME TO BRING THESE OUT AND
BASICALLY YOU'RE YOU KNOW AN
EXIT POINT FROM THE INVESTMENT
THAT YOU MAY BUY ONE OF THESE
PROPERTIES ARE SEVERAL OF THEM
ALL WHILE BACK A YEAR 2 YEARS
3 YEARS AGO, SO YOU GET YOUR
ACCIDENT NOW AS FOR WHETHER
IT'S A GOOD DEAL FOR THE
SHAREHOLDERS. I'M NOT WHO YOU
KNOW YOU'RE HOPING WILL BALL
YEAR YOUR SHARES AT OR UNITS OF
THE IPO PRICE. IS ANOTHER
QUESTION ENTIRELY. BUT
CERTAINLY FOR THE FOR THE FOLKS
WHO OWN THOSE COMPANIES.
AND TRYING TO GET LIQUID ON
THERE ON THEIR POSITIONS, IT'S
DEFINITELY A GOOD TIME TO BRING
THE PUBLIC.
>> YEAH LIKE BUZZFEED SERIES A
INVESTORS FOR THAT COMPANY
STILL WAITING FOR A RETURN SO
IS THIS AND EXIT RAMP.
>> IT IS IT IS AND I I THINK IT
WILL PROBABLY DO WELL IN
BUZZFEED HAS HAS A A GOOD
STRONG BRAND OF ICE IS ANOTHER
ONE THAT GETS MENTIONED IT HAS
A GOOD STRONG BRAND ARE THEY
STRONG ENOUGH TO SORT OF STAND
ON
THEIR OWN.
>> PROBABLY
>> CERTAINLY MOST OF INVESTMENT
COMMUNITY OUT THERE, ESPECIALLY
YOUNGER INVESTORS MILLENNIALS
ET CETERA. NO
THESE BREAD I KNOW THEM WELL
AND WOULD BUY SIMPLY BASED ON
THAT FAMILIARITY BUT THAT'S
WHAT I
SAY IT GOOD FOR THOSE COMPANIES
THAT OWN THESE
BREAD BUT FIRST SHAREHOLDERS,
ESPECIALLY IF YOU'RE NEW TO THE
MARKET OR NEWT
US PACKS, YOU KNOW THERE'S I
GOTTA SAY EXPECTS OR 4TH FOR
SPECULATING BUT THEY'RE NOT
NECESSARILY FOR INVESTING LESS
YOU FIND THE RIGHT EXACT
COMPANY AT THE RIGHT EXACT
PRICE. AND CHANCES ARE RIGHT
NOW THINGS ARE JUST SO FEVERED
OUT THERE. THAT I DOUBT THAT
YOU KNOW YOU'RE GOING TO WANT
TO BUY THESE. AND CHASE
AFTER THEM AND YOU KNOW 20 OR
A SHARE AS THEY CUT A LOT
HIGHER PRICE AGAIN IN THIS KIND
OF ENVIRONMENT.
>> WHY IS THAT IT WHY THEY'RE
MORE OF A RISK SO TO SPEAK WITH
US BACK THEN PERHAPS A
TRADITIONAL IPO.
>> YEAH, IT'S A REALLY GOOD
QUESTION. I MEAN YOU KNOW THE
THE OLD TERM FOR
FOR US PAC IS A BLANK CHECK
COMPANY THAT'S WHAT THEY CALL
IT ON WALL STREET THAT'S WHAT
THE SEC STILL CALL THESE THINGS
AND I THINK THERE ARE ACTUALLY
A REVOLUTIONARY DEVELOPMENT
THEY ALLOW. NO SMALL PRIVATE
COMPANIES TO COME PUBLIC WITH A
LOT LESS OF THE BAGGAGE THAT
COMES WITH
THE TRADITIONAL IPO INEXPENSIVE
AND I FEEL SO THAT'S A GOOD
PART, BUT IT'S UP TO US AS
INVESTORS THEN TO SORT OF VET
THEM BECAUSE THAT'S TYPICALLY
WHAT AN INVESTMENT BANKER WOULD
DO UNDER
THE OLD. IPO YOU KNOW WITH A
BLANK CHECK COMPANY WITH
US PACK. YOU'RE ESSENTIALLY
BUYING OF PRESUMING YOU'RE
BUYING AT
IPO LEVEL YOU KNOW $10 PER
YOU'RE GIVING THEM.
THE MONEY. AND YOU DON'T REALLY
KNOW WHAT IT IS THERE
ACTUALLY BUT YOU DON'T KNOW IF
THE COMPANY THEY'RE GOING TO
BUY IS PROFITABLE
OR NOT OR EVEN IF THERE'S
REALLY A BUSINESS OR JUST
PLANS. FOR BUSINESS THAT SORT
OF THING SO THAT'S WHY THESE
THINGS GENERALLY ARE RISKIER
NOT SAYING DON'T DO IT, BUT
JUST UNDERSTAND WHAT YOU'RE
GETTING YOURSELF INTO HERE.
>> THIS CHANGE THE LANDSCAPE OF
THE DIGITAL MEDIA MARKET.
>> WELL I THINK WHAT IT WILL
CERTAINLY FOR FOR THESE
COMPANIES, YOU KNOW THEY'LL GET
A NICE CHUNK OF CASH WILL GET
SOME SOME GOOD
WORKING CAPITAL AND IT WILL
LIKELY ALLOW THEM TO EXPAND
THEIR THEIR FOOTPRINT AND BE
ABLE TO HAVE.
EVEN MORE YOU KNOW THE CONTENT
IS KING
RIGHT SO. FOR ACROSS ALL OF THE
DIFFERENT PLATFORMS THAT YOU
DISTRIBUTED AND YOU'RE ABLE TO
YOU KNOW CREATE
AND BUILD BETTER CONTENT THE
SAME WAY WE SEE NETFLIX TO THAT
IN PAST YEARS WITH THE GREAT
PROGRAM AND
THEY HAVE I PRESUME BY
SOME BUZZ FEED THE REST CAN
LIKEWISE LEVERAGE
THEIR BRANDS AND CONTINUE TO
BUILD GOOD CONTENT BUT ON THE
BACKSIDE OF THAT YOU KNOW YOU
WANT TO MAKE SURE THAT THEY'RE
ACTUALLY GOING TO USE THAT
CONTENT TO
GENERATE CONSISTENT RECURRING
REVENUE PRESUMABLY, THERE'S
CASH FLOW AND AGAIN AS
AN INVESTOR, SOME POINT DOWN
THE ROAD YOU WANT TO SEE A PATH
TO PROFITABILITY OTHERWISE THE
STOCKS MAY HAVE A NICE POP.
BUT THEN YOU
KNOW FADE AS THE THE INTEREST
AND THE NEWNESS OF IT ALL SORT
OF FADES AWAY.
>> IS THERE ANY CONCERN ABOUT
US BACK FALL.
>> YES, I THINK THERE IS I MEAN
IF YOU ASK ME, JEFF, YOU KNOW
ARE THERE ANY.
BY RIGHT NOW I WOULD
SAY YOU REALLY KNOW BECAUSE
MOST OF THE ONES THAT THAT I
I'VE SEEN THAT I THINK HOW SOME
INTEREST AND BUYING THERE 2030
4050 $60. AND AGAIN YOU'RE NOT
REALLY BUYING A REAL BUSINESS
YET YOU HAVE NO WAY TO GET TO
KNOW HOW TO VALUE IT SO IS
THERE A BUBBLE IN
THESE THINGS. YES, I WOULD
RATHER WAIT FOR THAT BUBBLE TO
POP AND DOESN'T UP TO BE A
GIANT COLLAPSED, I THINK THE
WAY FOR THE BUBBLE TO DEFLATE
AND CHANCES ARE YOU CAN WE'RE
GOING TO BE ACTUALLY SOME
REALLY GOOD SORT OF CHERRY
PICKING A
VERY INTERESTING AND SOMETIMES
VERY PROFITABLE COMPANIES BUT
YOU'RE PICKING THEM OFF AT A
BETTER PRICE THAT
MAKES SENSE. NOT JUST FROM NOW
OR NEXT MONTH FOR BUT FOR NEXT