• msage@programming.dev
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    8 months ago

    How does that respond to the original idea, that is:

    if they believed in the company, they would hold their stock.

    You are not a genius for selling your company’s stock after IPO, you are a grifter. Doesn’t matter how many voting shares they have, doesn’t matter how much more money they need - they do get paid in cash too, and they can borrow against the stock.

    So they sold out. Fuck them both for that.

    • Cethin@lemmy.zip
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      8 months ago

      The point would be to diversify assets. You don’t want to gamble everything on the hope the thing you believe in is successful. Not that I think they believe in the platform, but it is probably a smart idea to diversify no matter what. 25% of your shares does seem like a lot though.

      • frezik@midwest.social
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        8 months ago

        If they sold at $50 a share, they pocketed over $25M each. Even after taxes, that is more than enough to live comfortably in any region’s cost of living.

        That’s not diversifying. That is greed.

        • Cethin@lemmy.zip
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          8 months ago

          Them not selling isn’t any more greedy. No matter what, they own the value of the stocks, whether they liquidate them or not. It’s fucked up that anyone gets paid that amount in general, but they did and it’s theirs. I don’t know what you people would want from them. Isn’t holding onto the shares hoping the value goes up even more greedy?

        • rezifon@lemmy.world
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          8 months ago

          Or you sell stock when you need to rebalance. Fuck spez, but selling 25% at IPO seems sane and reasonable to me.

    • octopus_ink@lemmy.ml
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      8 months ago

      if they believed in the company, they would hold their stock.

      The COO holds 1.4 million now, so she dumped 25% of her shares

      • msage@programming.dev
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        8 months ago

        Selling quarter of your stock AT THE FUCKING IPO is a shame. I can’t believe people are defending that.

        And I suspect they can’t sell the rest as easily as the A shares.

        • octopus_ink@lemmy.ml
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          8 months ago

          I have nothing I’m willing to defend about Reddit management, I love the idea that they will end up penniless one day (though I’m sure that will not happen.)

          I just don’t think selling off 25% of one’s shares (necessarily) means what has been suggested.

            • howrar@lemmy.ca
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              8 months ago

              Selling everything = I have no faith

              Keeping everything when these shares represent almost your entire net worth = I know with 100% certainty that this business will grow

              Selling off 25% = I believe in the company, but I also acknowledge that there are many variables outside of my control that can affect the success of this company and I don’t want those to have huge negative repercussions on my life.

          • msage@programming.dev
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            8 months ago

            And how does that go against the “they don’t have faith in their business” argument?

            • dmrzl@programming.dev
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              8 months ago

              Imagine talking about faith in that situation. If you really think faith is a good base for financial decisions you better keep far away from the stock market.