this post was submitted on 01 Jun 2026
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[–] rumba@lemmy.zip 21 points 1 day ago (1 children)

I worked for a company once that went IPO and we had stock units assigned to us.

CEO: Companies try to stay private for as long as they can, they don't just IPO for the hell of it. They're trying to solve a problem with money. Maybe they owe people money, maybe they need to spend a bunch of money to take the company to the next level. An IPO doesn't fix any problems; rather, it turns one set of problems into a bigger, harder set of problems.

[–] Croquette@sh.itjust.works 20 points 1 day ago (1 children)

Founders try to cash in. They've raised the cow, now's the time to send it to the butcher for parts

[–] rumba@lemmy.zip 3 points 16 hours ago

You don't have to IPO to cash out, people cash out of private ventures all the time.

If the founders all want to cash out at once, or there's a iceberg that the see, or the company isn't as liquid as it needs to be to cash out....

I strongly suspect they either can't find or sustain the profit, or they think the bubble is close enough to get out early.