10 May 2005

Whose home run?

Tom Evslin today mentioned in passing how Google's float was "an IPO home run". This from a blogger who calls himself a VC!

Google floated at around $95 (according to Yahoo), and it's now $226 — an increase of over 130% in six months. What does that mean for the original owners? They got a darn lot less than they should have. In fact, the owners should have made 130% more from the offering, assuming Google's business now is pretty much the same as when they sold it. From their perspective, and their advisers', that's an IPO disaster.