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I don't get it. Why do they need or want to go public with revenue north of 1 Billion dollars and ~1000 employees? (according to a Recode story from last year:
by crispyambulance 8y ago
I don't get it.
Why do they need or want to go public with revenue north of 1 Billion dollars and ~1000 employees? (according to a Recode story from last year: https://www.recode.net/2017/6/15/15810088/slack-deal-funding-amazon-microsoft-buyers-business-communication https://www.recode.net/2017/6/15/15810088/slack-deal-funding...).
The got a good product, it makes money, lots of people use it. Aren't they afraid of "winning" the market so completely that they can only look forward only to a downhill ride?
Is it simply because they took investor money and now need to grow like bejeezus to pay them back?
- rkangel 8y agoAs I understand it, there are two reasons to go public: to raise money, and for investors to exit. From the way they are going public (direct listing), it doesn't appear that they are trying to raise money. For investors, some companies get large enough that there isn't anyone who can buy them in whatever sector they are in. Going public is a way of them exiting the business and getting cash out.
- ethagknight 8y agoLook at it a different way, why do they need to stay private? Do they have any strategic advantage to maintaining a tight market-counterintuitive initiative? What's the reason not to put a bow on it and push it out the door? Probably large part due to their early funding, but what's wrong with that?
- Xelbair 8y agoNot having a bunch of shareholders, who are interested in their short-term profit, directing your business decisions is one thing.
- btown 8y agoHot take: the board REALLY wants them to revert their icon redesign, but they don’t want to look like they’re the ones doing it, so they’re taking the company public so new shareholders will advocate in their stead. /s