Bloomberg: IPOX® CEO Schuster on Venture Global’s Post-IPO Performance

IPOX® CEO Josef Schuster was interviewed by Bloomberg to discuss Venture Global's aftermarket performance following its recent IPO. Schuster provided insights into the challenging market conditions faced by Venture Global, emphasizing its notably poor stock performance compared to other major energy IPOs in recent decades.

Venture Global, which specializes in liquefied natural gas production, experienced significant setbacks during its IPO debut. Schuster highlighted that the company's stock ranks among the worst-performing large energy IPOs ever.

Schuster further detailed that February proved particularly difficult for newly listed companies. The IPOX® 100 U.S. Index, which tracks the firm’s index of recent debuts, fell 2% during February, while Venture Global’s stock fell 26% over the same period, highlighting investor skepticism and broader market volatility. Schuster called February a “tough month” for new listings.

Among the factors identified by Schuster contributing to Venture Global's struggles were its relatively small share float, dual-class share structure, and overly ambitious valuation targets set during its IPO. He specifically noted that Venture Global issued a smaller share of its combined float than Saudi Aramco did when it went public. These structural factors significantly dampened investor sentiment, leading to persistent difficulties in the stock’s trading performance post-listing.

Subscribers with access to the Bloomberg Terminal can read the full article featuring Josef Schuster's analysis.
https://blinks.bloomberg.com/news/stories/SSO7Y8DWRGG0