Nasdaq Unit Explores Offering Private IPOs for Startup Stakes

Nasdaq Inc.’s private market subsidiary is seeking to be the first in the US to offer companies the option of holding so-called private IPOs, giving venture capital and buyout firms more options to realize the value in their portfolios.

Nasdaq Private Market is having conversations with several large VC and private equity firms about providing them with opportunities to divest stakes in portfolio companies at regular intervals, as the market for initial public offerings isn’t yet fully open.

“Both VCs and PE are all frankly grappling with the same liquidity challenges for many of their larger portfolio holdings,” Tom ...