4 ms·
30%-50% on $1bn is a really high return. The bigger the stakes, the lower the multiples. (That's why people use leverage.)
by adw 15y ago
30%-50% on $1bn is a really high return. The bigger the stakes, the lower the multiples. (That's why people use leverage.)
- dpapathanasiou 15y agoThat's true, but leverage works both ways: if the IPO flops, it's a huge hole in their portfolios. It'll be interesting to see what effect all this public criticism of the S1 filing does to the opening day price.
- PedroCandeias 15y agoI'm guessing this public criticism is pretty much limited to tech savvy audiences so far. I haven't seen Groupon get this criticized on cnn, money.com or ft yet, so the wider public is probably still thinking this is a great deal.