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How did preferences make it worse? Generally, preferred shares convert to common in the event of an IPO, so preferences are discarded.
by aneesh 11y ago
How did preferences make it worse? Generally, preferred shares convert to common in the event of an IPO, so preferences are discarded.
- smileysteve 11y ago> With Square, investors were guaranteed a 20 percent premium on their investment, which would be worth $18.56 a share, meaning Square had to issue more shares to those investors, further devaluing the stock owned by employees. http://www.bloomberg.com/news/articles/2015-11-19/square-employees-find-some-of-their-stock-options-under-water http://www.bloomberg.com/news/articles/2015-11-19/square-emp...