The IPO valuation looks aggressive since the company is approaching the primary market in the initial stage of operations where capital expenditure (capex) is higher to build capacities while the benefit in terms of higher cash flows and profit will flow in subsequent years. Given these factors, the issue looks more suitable for long-term investors with a high risk appetite.
S&P Global weighs multibillion-dollar spinout of Capital IQ Pro: Report
S&P Global is considering spinning off Capital IQ Pro into a standalone company that could be valued in the high single-digit billions of dollars, Bloomberg