Re:When a Unicorn Startup Stumbles, Its Employees Get Hurt
by jameshart on Wednesday December 23, 2015 @01:22PM
(#10784723)
But the people negotiating the deal with Blackberry knew how the waterfall would shake out. They elected to agree to a price where the share of the purchase price distributed across common stockholders left many employees in a bad place. That was a choice. As was structuring the ownership of the company, and the compensation offers to their employees, in that way in the first place.
Re:When a Unicorn Startup Stumbles, Its Employees Get Hurt
by tvladeck on Wednesday December 23, 2015 @02:17PM
(#10785046)
Right, but we have to assume that Good could not have gotten a better price from Blackberry. The alternative was even worse from the common shareholders - a price of $0 for their shares.
They also could not have changed the waterfall. So I'm not sure what your point is, really
You're mistaken here. Your point rests on there being a possibility that Blackberry paid the same amount for the company (the valuation), but common stock holders got more (the waterfall). This was not possible.