Initial Public Offerings are exactly that, the initial offering of shares to the investing public. That’s the beginning of price history.
This is how it used to be in the old days anyway. Today, we regularly see companies going public so their investors can take profits on their early stage bets. There have usually been several rounds of money raising along the way.
The liquidity is to pay investors, and not necessarily just to raise cash to grow the company.
And that bothers some people. But not me. I don’t really care.
I’m only here to try to make a few bucks off the whole thing. [Read more…]