So blocking a sale at a $20B valuation so the company can IPO at a $19.3B valuation 3 years later (a loss of $700M in value over 3 years) is a success?
Lina Khan points to Figma IPO as vindication of M&A scrutiny
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Re: Lina Khan points to Figma IPO as vindication of M&A scrutiny
#82Lina Khan is a genius.
would not be surprised if shes the first fpotus
Re: Lina Khan points to Figma IPO as vindication of M&A scrutiny
#83So blocking a sale at a $20B valuation so the company can IPO at a $19.3B valuation 3 years later (a loss of $700M in value over 3 years) is a success?
Yeah, because now it's not owned by Adobe, who are tanking their own stock price.
Re: Lina Khan points to Figma IPO as vindication of M&A scrutiny
#84So blocking a sale at a $20B valuation so the company can IPO at a $19.3B valuation 3 years later (a loss of $700M in value over 3 years) is a success?
Yes? Not everything is about capital owners and their profits. There is a lot of importance in the competition in the market and customers having choice of best products around. Figma competing with adobe is one of the examples.
Even from capital point of view everyone is now forced to make their bet - either on adobe or figma, so it’s more efficient capital allocation too.
Re: Lina Khan points to Figma IPO as vindication of M&A scrutiny
#85So blocking a sale at a $20B valuation so the company can IPO at a $19.3B valuation 3 years later (a loss of $700M in value over 3 years) is a success?
Its market cap is about $58b right now. Tripled in three years!
Re: Lina Khan points to Figma IPO as vindication of M&A scrutiny
#86[deleted]
Re: Lina Khan points to Figma IPO as vindication of M&A scrutiny
#87Why should a regulator interfere with the free market in this example?
Re: Lina Khan points to Figma IPO as vindication of M&A scrutiny
#88Love the FTC getting to decide if you’re permitted to sell your startup or forced to deliver more shareholder value.
I do love it. Companies don't exist solely to enrich their founders, they exist to provide a benefit to society. There needs to be a balance, of course, but if allowing a sale does not benefit society, then we should not allow it. > your startup You're under the misconception that companies "belong" to individuals. Companies are legal frameworks that society has decided upon. We could legally decide that M&A just isn…
Congratulations you’ve just described central planning.
So “society” should be able to veto a sale, but when payroll is due the owners are on the hook?
Re: Lina Khan points to Figma IPO as vindication of M&A scrutiny
#89So blocking a sale at a $20B valuation so the company can IPO at a $19.3B valuation 3 years later (a loss of $700M in value over 3 years) is a success?
We'll see but post-IPO their valuation is $58b, so it's not clearly wrong
But also as you said this is 3 years later, which is a long time in the tech business and all sorts of things have changed, positive and negative... so she's not clearly right either...