Re:Stripe announces new round of funding and plan to provide...
by rvz on Wednesday March 15, 2023 @06:48PM
(#35175772)
This is all down to greediness. Instead of IPO'ing in 2019 (Which was the optimal time to IPO and head to the exit as mentioned before [0]), not even $95BN is somehow enough?
A direct listing is probably a better option since it will be even more difficult for them to raise again for an IPO this year, given the current market turbulence.
To Downvoters: I will triple down. It is certainly greed. Here's why:
As far back as 2017 [1] and since then Stripe's founders just wanted more and missed the opportunity to IPO in 2019 and just almost forgot about it's own employees stock options expiring and becoming worthless.
They are now forced to delay plans for an IPO due to the market downturn and have to deal with a significant 50% down-round. They know they cannot raise anymore money this time otherwise it is another hit to their valuation.
A direct listing is probably a better option since it will be even more difficult for them to raise again for an IPO this year, given the current market turbulence.
To Downvoters: I will triple down. It is certainly greed. Here's why:
As far back as 2017 [1] and since then Stripe's founders just wanted more and missed the opportunity to IPO in 2019 and just almost forgot about it's own employees stock options expiring and becoming worthless.
They are now forced to delay plans for an IPO due to the market downturn and have to deal with a significant 50% down-round. They know they cannot raise anymore money this time otherwise it is another hit to their valuation.
[0] https://news.ycombinator.com/item?id=20993919
[1] https://techcrunch.com/2017/04/07/stripes-patrick-collison-s...