Stableton Navigator | OpenAI’s Stack Overflow Partnership, Market Dynamics & Strategic Investments
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In this week's edition of the Stableton Navigator, we explore OpenAI's latest collaboration with Stack Overflow as well as the rumored release of a ChatGPT-based search engine. Puig, the Spanish beauty brand, is progressing with its ambitious IPO plans in Europe. Revolut is expanding in Mexico and SpaceX is now accepting space tourism bookings.
Highlight of the Week
OpenAI has partnered with Stack Overflow to enhance its AI models, particularly in programming-related tasks. This collaboration will integrate OpenAI’s advanced models into Stack Overflow, aiming to improve the platform’s response quality and user experience. Set to launch new features by June, this partnership positions OpenAI to further penetrate the developer tools market, leveraging Stack Overflow’s extensive database and user base.(1)
Market Update
Spanish beauty conglomerate Puig is set to conduct Europe's largest IPO this year, targeting a valuation of up to €14 billion. The IPO aims to raise about €3 billion by selling 21-24% of its stock. Puig's entry could boost more IPOs, showing strong investor confidence and interest in top-notch stocks.(2)
Nik Morandi from Blackstone’s strategic partners team notes, "It’s an amazing time to be involved in secondaries," emphasizing the robust growth in the secondary private equity market. He expects the market could reach $250 billion within a decade, predicting a "modest" 10% to 15% annual growth. Transactions hit $114 billion in 2023, driven by strong liquidity demand and strategic use of continuation vehicles to extend asset holding periods.(3)
In early 2024, the market experienced 469 deals worth $24.5 billion, the highest since mid-2022. This activity included a notable $8.5 billion merger between Reliance and Disney. According to a report by Grant Thornton, Q1 also featured 120 mergers and acquisitions worth $12.3 billion, and 24 IPOs, demonstrating robust market confidence.(4)
Portfolio News
 | Anthropic has launched its first enterprise offering and an iOS app, enhancing its suite of AI products. The company is known for the Claude AI models. It now supports more business features and mobile integration. This expansion enhances user accessibility and interaction with Anthropic’s AI tools.(5) |
 | Revolut is investing $100 million in Mexico to improve financial services and simplify remittances. This aligns with its goal to lead in remittance services across Latin America, starting with Mexico.(6) |
 | SpaceX is now accepting space tourism trips to Earth orbit, the ISS, the Moon, and Mars. Tourists will fly on Dragon and Starship rockets with spacesuits, sensory gloves, and 3D-printed helmets. Flights to Earth's orbit start in late 2024, with ISS trips in 2025, expanding commercial space travel.(7) |
 | OpenAI is rumored to launch a new ChatGPT-based search engine on May 9, combining web search with AI. This could change search engines by merging AI content with web pages and creating new ad revenue.(8) OpenAI partners with Stack Overflow to boost its AI models for programming tasks, improving response quality and user experience. Launching new features by June, this move helps OpenAI expand in the developer tools market using Stack Overflow’s database and user base.(9) |
Stableton News
Team expansion: We are excited to announce that Daniel Schieferdecker has joined the Stableton team in Germany as Head of Institutional Business Development! Bringing expertise from more than 10 years in the alternative investment industry with Nasdaq, HarbourVest Partners, PineBridge Investments, and J.P. Morgan, Daniel is well prepared to help us expand the Stableton Unicorn Top 20 Fund throughout Europe.
Daniel's insights will be crucial as we aim to bring a cutting-edge passive, low-cost, semi-liquid, and open-ended investment product to the European market and beyond.
Chart of the Week
Huge potential: The notable 79.8% gap between NASDAQ and private market secondaries highlights the potential high-return opportunities that pre-IPO investments in the secondary market can offer.
The Untold Unicorn Story
Discord has been a popular communication platform since 2015. It is a favorite not just among gamers, but also in online communities worldwide. It has transformed online connections. Its features, including voice, video, and text chat, bring together millions with shared interests. Moreover, Discord is known for its simple and strong design. It supports everything from casual chats to big community interactions.
Fun fact: Discord initially started as part of a different project. It was a mobile MOBA game called "Fates Forever" by Jason Citron's company, Hammer & Chisel. The game did not succeed. So, Citron pivoted the company's focus to one of the game's standout features - its built-in voice chat. This pivot saved the company. It also revolutionized gamer communication. It did this by focusing on what was already effective.
Q&A and Learning
How do you manage the portfolio of the Stableton Unicorn Top 20 Fund to ensure the 5% target allocation of each of the 20 holdings?
Stableton continuously tracks deal flow and maintains an active dialogue with 100+ deal-sourcing partners. Upon new subscriptions or redemptions, Stableton seeks to remove the largest active share, which is the largest absolute difference to the target allocation of 5%.
Stableton is typically working on two to ten direct secondary transactions simultaneously. We balance share availability, transaction pricing, and bringing the portfolio toward the ideal equal-weight allocations.
Where to Meet Us
Reach out if you would like to meet
Doha, Qatar (May 13)
Abu Dhabi, UAE (May 14)
Dubai, UAE (May 15)
0100 CEE Conference, Prague (May 14-15)
Private Wealth Forum UK, London (May 16)
SuperRetun / SuperVenture, Berlin (June 4-7)
AltsHK, Hong Kong (June 13)
Fund Forum, Monaco (June 24-26)
Israel Private Markets Summit, Tel Aviv (July 16)
And, of course, we are always happy to meet you at our main offices in Zurich, Switzerland!
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