Re:Facebook investors look for exits
by ChuckMcM on Wednesday April 27, 2011 @06:59PM
(#2491419)
I'm not surprised by this. One of the things about the non-bubble bubble is that its driven by 'qualified' investors who, in theory, are better able to evaluate such deals on their own.
That FB has apparently reached an equilibrium somewhere shy of 50% of Google's valuation is a good thing for reigning in speculation.
But as a company that has seen a lot of second market type of motion, I have to wonder if this makes an IPO a real non-deal. Perhaps Facebook might simply shift from private to public without offering any (or only a token amount) of equity since they will already have a big chunk of equity in the hands of non-insider investors.
I agree with the quote that says the company is already priced for perfect execution, if you buy in now its hard to believe your return would out perform the market.
That FB has apparently reached an equilibrium somewhere shy of 50% of Google's valuation is a good thing for reigning in speculation.
But as a company that has seen a lot of second market type of motion, I have to wonder if this makes an IPO a real non-deal. Perhaps Facebook might simply shift from private to public without offering any (or only a token amount) of equity since they will already have a big chunk of equity in the hands of non-insider investors.
I agree with the quote that says the company is already priced for perfect execution, if you buy in now its hard to believe your return would out perform the market.