Politics, Weather, Photography, and the Dog
Saturday 2 June 2012

As just about everyone who watches these things predicted, Groupon's shares declined 9% just as soon as insiders were able to start trading them:

Friday marked the end of the company's lock-up period, which prevented insiders from unloading their Groupon stock. Groupon went public in November with a small float. The expiration of the lock-up period puts into play 600 million shares, amounting to 93 percent of the company's total outstanding shares. About one-third of those shares will not be sold, as they are in the hands of co-founders Andrew Mason, Eric Lefkofsky and Brad Keywell. Mason, who is also chief executive, said last month that the trio had no intention of selling their holdings.

Analysts had said they expected downward pressure on Groupon's shares as a result of the lock-up expiration but that many insiders -- a group that includes current and former senior executives, board members and early investors -- would hang onto their stock to wait for a rebound in the price. While Groupon's shares rebounded last month after the company reported first-quarter earnings, they remained well below their IPO price of $20.

Why did Groupon even have an IPO? Probably for the same reason Facebook did: to enrich the VCs and founders. That's easy. But why did anyone buy Groupon at $20 or Facebook at $38? Because math class is tough, but history is tougher, apparently.

Saturday 2 June 2012 11:13:27 CDT (UTC-05:00)  |  | Business#
Search
On this page....
Groupon shares decline to saner levels
Countdowns
The Daily Parker +3425d 02h 16m
Italy 58d 20h 42m
Parker's 9th birthday 76d 10h 57m
My next birthday 157d 15h 02m
Categories
Aviation (358) Baseball (110) Best Bars (10) Biking (44) Chicago (967) Cubs (198) Duke (133) Geography (352) Higher Ground (5) Jokes (284) Kitchen Sink (689) London (66) Parker (198) Daily (204) Photography (148) Politics (304) US (1126) World (274) Raleigh (21) Readings (8) Religion (67) San Francisco (93) Software (210) Blogs (82) Business (242) Cloud (90) Cool links (147) Security (103) Travel (255) Weather (744) Astronomy (93) Windows Azure (62) Work (95) Writing (14)
Links
Archive
<March 2015>
SunMonTueWedThuFriSat
22232425262728
1234567
891011121314
15161718192021
22232425262728
2930311234
Full archive
Blogroll
About
David Braverman and Parker
David Braverman is the Chief Technology Officer of Holden International in Chicago, and the creator of Weather Now. Parker is the most adorable dog on the planet, 80% of the time.
Legal
All content Copyright ©2015 David Braverman.
Creative Commons License
The Daily Parker by David Braverman is licensed under a Creative Commons Attribution-Noncommercial-No Derivative Works 3.0 United States License, excluding photographs, which may not be republished unless otherwise noted.
Admin Login
Sign In
Blog Stats
Total Posts: 4737
This Year: 123
This Month: 40
This Week: 2
Comments: 0