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Chronicles

The story behind the story

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Sources: Postmates, which planned to go public this year, has recently told advisers that it is delaying its IPO due to market conditions

Theodore Schleifer / Vox :

Vox Theodore Schleifer

Context & Ripple Effects

Postmates' road to the public markets has been long and winding: it confidentially filed for an IPO in February 2019 after a January $100M raise at a $1.85B valuation, and as recently as July was weighing a sale, with talks reported with DoorDash, Walmart, and Uber. Today's delay to advisers, citing market conditions, effectively answers that fork in favor of staying private — for now — and keeps the acquisition conversations implicitly alive as the fallback.

First-order effects

  • Postmates' planned 2019 listing is off the near-term calendar, leaving the company dependent on private capital and its $1.85B valuation untested by public markets.

Second-order effects

  • With the IPO path frozen, suitors like DoorDash, Walmart, and Uber regain leverage: Postmates' board must weigh a discounted sale against waiting out volatile markets, echoing its 2016 caution about avoiding too high a valuation target.

Third-order effects

  • If market conditions keep window-shopping unicorns out of listings, delivery-sector consolidation shifts from public-market exits to strategic acquisitions — private valuations become negotiating positions rather than price discovery.

The trend: Late-2010s on-demand delivery startups are treating the IPO as a conditional option rather than a milestone, with acquisition talks as the standing alternative whenever market windows close.

Discussion

  • @teddyschleifer Teddy Schleifer on x
    New: Postmates has told people that it's delaying its IPO. It's the latest sign that Wall Street is really screwing with Silicon Valley startups' hopes and dreams. https://www.vox.com/...
  • @mikeisaac Rat King on x
    “And it's clear as 2019 wraps up that the rest of the world does not believe in Silicon Valley as much as Silicon Valley believes in itself.” https://www.vox.com/...
  • @davidschawel David Schawel on x
    Capital market sentiment ebbs and flows for all asset classes and sectors. It's beyond misguided to think this is a “Wall Street” problem. https://twitter.com/...
  • @ccchaircut Excel Ranger on x
    Or it's a sign that Silicon Valley was deploying capital at rates far beyond what they should have https://twitter.com/...
  • @polina_marinova Polina Marinova on x
    In a shock to absolutely no one, Postmates delays their IPO due to “market conditions” https://www.vox.com/...
  • @gregbensinger Greg Bensinger on x
    I guess bankers won't be getting tipped for delivering this IPO Looks like the IPO delivery has been delayed https://twitter.com/...