The company itself, which essentially just lost the difference in cost between the IPO shares and their actual value in cash. Okay, if you want to be really ni

The company itself, which essentially just lost the difference in cost between the IPO shares and their actual value in cash. Okay, if you want to be really nitpicky, they didn't lose quite that amount. But they did lose a substantial amount of cash. Also, employees are likely hurt indirectly, as they can't sell their stock for 90 days. Underpriced IPOs flood the market with stock, potentially causing the price to collapse (as in the case of LendingClub) before they get to cash out.