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The company "missed out" on the money, not the founders right? The IPO wasn't with the all of the founders shares. They may also be restricted on when and how m
by snarf21 9y ago
The company "missed out" on the money, not the founders right?
The IPO wasn't with the all of the founders shares.
They may also be restricted on when and how much they can sell.
Part of the value is creating buzz.
If you IPO at 24 and it jumps to 32, hopefully it is still 30 when you can sell. If you IPO at 32 and it drops to 26 cause there is no buzz, you make a lot less when you sell.
- SamReidHughes 9y agoThe company would be more valuable (having more cash) or less diluted (having sold fewer shares) if it had IPO'd at a higher price.