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Who cares how much the cost to you was? All that matters is the market price, and you were lied to about that. >> I can't imagine the LNKD investors are too di
by mayukh 15y ago
Who cares how much the cost to you was? All that matters is the market price, and you were lied to about that.
>>
I can't imagine the LNKD investors are too disappointed about a $300+ million payday.
<<
That is exactly the sort of cavalier attitude folks on wall street display when these issues persist - "who cares, we made you a lot of money didn't we?". When in fact their responsibility is to try and find the most accurate price and minimize risk to the underwriters.
The thing is like others have mentioned, there is a degree of "buyer beware" going on here. Its not like LinkedIn had no clue about the market situation. They probably had a staff of ex-bankers (like most tech companies do) help them price the offering too.
It's just the nature of the beast. Taking companies public is an oligopolistic business and till we figure out alternative ways of doing this (a-la google tried) this is going to be a perennial problem.
- ceejayoz 15y ago> All that matters is the market price, and you were lied to about that. There isn't a "market price" until it goes on the market. Nothing prevented LinkedIn from having their own experts (and I suspect they did) weigh in on the proper price.