HashiCorp IPO today

redisman wrote: post #4

Other then cashing in equity has anyone found that a IPO has made a place better or worse for the employees? Big fan of Hashicorp products btw

I bet most answers to this question will conflate IPO problems with simple growth problems, and the two are hard to separate. After all, a constant drive for growth combined with accountability to a public board usually makes strong leadership and strategy challenging - it's easier IMO for public companies to fall into "we must do what is easy to hit our numbers now."

On the flip side of the same coin, the ability to offer liquid equity and essentially pay employees using the company's projected growth (RSU issuance) is often financially lucrative for employees old and new and if done correctly, can attract a different group of really strong people who aren't in a place to take the startup gamble.

Re: HashiCorp IPO today

#6

Post by nemo44x » Thu, Dec 09, 2021, 7:55 PM UTC

redisman wrote: post #4

Other then cashing in equity has anyone found that a IPO has made a place better or worse for the employees? Big fan of Hashicorp products btw

Better for your wallet, but worse for the job. The company changes. The type of people it attracts to leadership roles are not the kind of people you’d start a company with. They bring their “processes and methods” that they promise will scale the company and then they insulate themselves by hiring their friends to report to them. The culture is corrupt at this point and the technologists that built the company begin moving on to new challenges and you see an accelerating attrition. But the new leadership doesn’t mind as it removes credible threats to their questionable abilities. And they can backfill with more friends/lackies loyal to them.

Within a few years post IPO the Composition of the company will have totally changed. The special place becomes a regular corporation. The hyenas will try to move on to the next Prize.

Re: HashiCorp IPO today

#7

Post by bugsense » Thu, Dec 09, 2021, 7:59 PM UTC

I think Hashicorp will enter monitoring next. Netdata would be a great fit (OSS, fat agent, huge metric granularity, deep infra and network insights)

Re: HashiCorp IPO today

#8

Post by khazhoux » Thu, Dec 09, 2021, 8:02 PM UTC

pas wrote: post #3

Hah, no IPO bump. Does anyone know any detail about their deal with their bank? https://www.google.com/finance/quote/HCP:NASDAQ?sa=X&ved=2ah...

My understanding is that an IPO bump is good for optics, and good for underwriters, but bad for company itself (money left on table). Is that right?

Re: HashiCorp IPO today

#9

Post by NotSammyHagar » Thu, Dec 09, 2021, 8:03 PM UTC

Their symbol is hcp instead of hash, what a shame.

Re: HashiCorp IPO today

#10

Post by throwaway1492 » Thu, Dec 09, 2021, 8:03 PM UTC

bri3d wrote: post #5

redisman wrote: post #4

Other then cashing in equity has anyone found that a IPO has made a place better or worse for the employees? Big fan of Hashicorp products btw

I bet most answers to this question will conflate IPO problems with simple growth problems, and the two are hard to separate. After all, a constant drive for growth combined with accountability to a public board usually makes strong leadership and strategy challenging - it's easier IMO for public companies to fall into "we must do what is easy to hit our numbers now." On the flip side of the same coin, the ability to…

Hopefully for their RSU awardees the leadership team doesn't hire a bunch of sales/marketing types, thereby increasing operating costs, and tank the stock price. Mostly the market expects to see continued organic growth in these types of companies. Does anyone have experience here? I've only seen it twice.