10 ms·

No, the bankers set the price perfectly. They just made $360M in a day.

• rossdavidh 9y ago
  For the bankers, yes. But Dropbox appears to have set the price wrong, and left a huge amount of money on the table for somebody else (the bankers) to take instead? Or does this 40% jump help Dropbox the company in some way I'm not understanding?
  • iooi 9y ago
    The bankers will sell this as building "momentum" for the stock. It does not benefit Dropbox directly in any way, it is literally $360M that could have gone to Dropbox but went to the bankers and their clients.
    • simula67 9y ago
      Banks would make money even if stock goes down, through "stabilization" https://www.bloomberg.com/view/articles/2016-11-25/appeals-court-concludes-that-ipos-are-legal https://www.bloomberg.com/view/articles/2016-11-25/appeals-c...
• riku_iki 9y ago
  > They just made $360M in a day. that's if they are able to liquidate those assets within a day without affecting market price.