4 ms·

The company I used to work for went public in a SPAC. Initially, the shares were worth about $35 or so. I sold immediately after my lockout period at about $26.

by ok_dad 4y ago

The company I used to work for went public in a SPAC. Initially, the shares were worth about $35 or so. I sold immediately after my lockout period at about $26. The shares are worth below $9 now. I read in the documents for the SPAC "merger" the executives got a big bonus when the deal closed. I hope for my former associates' sake that the company doesn't go under.

pram 4y ago
A bunch of my coworkers from a previous company went to a startup that did a SPAC IPO in October. Went from $12 to $1 since then. Seems like these all went down at literally the worst time possible lol
- formerkrogemp 4y ago
  They "went down" at the correct and absolute best time to cash out before interest rates rise and these companies go belly up. It's about grift not about making the company work well.
- deleted 4y ago
  [deleted]
- dedoussis 4y ago
  Was this Babylon?
  - pram 4y ago
    Yes
- arolihas 4y ago
  This makes me feel better about my $10 shares now being worth $4. Although I would never have joined this company in the first place if I knew they were going to IPO via SPAC last October.
deleted 4y ago
[deleted]
p10_user 4y ago
Another clear example of how finance can be used to suck capital out of the public markets. Hey, we all need to take profits eventually, right?
- YesThatTom2 4y ago
  Omg. I just realized SPACs are like the plot of The Producers.
- Blackstone4 4y ago
  Not really tho....most companies or high net worth people have most of their wealth in assets i.e. stocks, private companies, bonds...they will often just stay invested and watch the value of their assets go up. Only taking small profits here or there if they need the cash.
_ea1k 4y ago
That seems to be a pattern. VLTA recently had an executive shakeup that seems to stem from their overcompensation for closing a relatively mediocre spac offering. Its sad as their business has surprisingly tremendous potential with good execution.
datalopers 4y ago
They're about to sink even further, stuck with a bunch of unsellable homes as interest rates are zooming up. Q2 will be a rough print. They're executing better than Zillow did, for certain, but it's still going to catch up with them.
throwawaymaths 4y ago
Lazer huh? Not surprising. The CEO lied on his application to the thiel fellowship and sketch Russian investment money can only go so far. Parents were Florida real estate investors, so all the fawning press about self made child genius billionaire were eye-rollingly asinine. Iirc there was a major force reduction about a year before the SPAC.
- deleted 4y ago
  [deleted]
- ok_dad 4y ago
  Not sure what laser is sorry
  - throwawaymaths 4y ago
    LAZR But I guess a lot of patterns hold.
hef19898 4y ago
That's why I treat all my (ex-)employer shares and RSUs as lottery tickets / monopoly money. For Amazon that worked out perfectly, for EADS a little less so but still very well. If I cannot live with my base salary, I'm not taking the job, as simple as that. If someone is giving me a potentially winning lottery ticket on top of a decent base pay, why would I refuse so?

by ok_dad 4y ago

pram 4y ago

A bunch of my coworkers from a previous company went to a startup that did a SPAC IPO in October. Went from $12 to $1 since then. Seems like these all went down at literally the worst time possible lol

formerkrogemp 4y ago
They "went down" at the correct and absolute best time to cash out before interest rates rise and these companies go belly up. It's about grift not about making the company work well.
deleted 4y ago
[deleted]
dedoussis 4y ago
Was this Babylon?
- pram 4y ago
  Yes
arolihas 4y ago
This makes me feel better about my $10 shares now being worth $4. Although I would never have joined this company in the first place if I knew they were going to IPO via SPAC last October.

deleted 4y ago

[deleted]

p10_user 4y ago

Another clear example of how finance can be used to suck capital out of the public markets. Hey, we all need to take profits eventually, right?

YesThatTom2 4y ago
Omg. I just realized SPACs are like the plot of The Producers.
Blackstone4 4y ago
Not really tho....most companies or high net worth people have most of their wealth in assets i.e. stocks, private companies, bonds...they will often just stay invested and watch the value of their assets go up. Only taking small profits here or there if they need the cash.

_ea1k 4y ago

That seems to be a pattern. VLTA recently had an executive shakeup that seems to stem from their overcompensation for closing a relatively mediocre spac offering. Its sad as their business has surprisingly tremendous potential with good execution.

datalopers 4y ago

They're about to sink even further, stuck with a bunch of unsellable homes as interest rates are zooming up. Q2 will be a rough print. They're executing better than Zillow did, for certain, but it's still going to catch up with them.

throwawaymaths 4y ago

Lazer huh? Not surprising. The CEO lied on his application to the thiel fellowship and sketch Russian investment money can only go so far. Parents were Florida real estate investors, so all the fawning press about self made child genius billionaire were eye-rollingly asinine. Iirc there was a major force reduction about a year before the SPAC.

deleted 4y ago
[deleted]
ok_dad 4y ago
Not sure what laser is sorry
- throwawaymaths 4y ago
  LAZR But I guess a lot of patterns hold.

hef19898 4y ago

That's why I treat all my (ex-)employer shares and RSUs as lottery tickets / monopoly money. For Amazon that worked out perfectly, for EADS a little less so but still very well. If I cannot live with my base salary, I'm not taking the job, as simple as that. If someone is giving me a potentially winning lottery ticket on top of a decent base pay, why would I refuse so?