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In response to
"Submitted for Analysis: How stock market decimalization killed IPOs and ruined our economy -- (link)"
by
ty97
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I wouldn't link the collapse in IPOs to stock market decimilization.
Posted by
Roger More (aka RogerMore)
Sep 5 '12, 06:37
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The regulatory burden on public companies (through, say, SOX) is a lot heavier than on private companies.
It's a lot easier for managers to explain their long-term strategic decisions to private money, than to a bunch of investors only interested in the next quarter.
Once upon a time, the exit strategy for company founders and venture capitalists used to be an IPO. But selling to a company that could incorporate their product became more profitable, so we are seeing Skype sell itself to Microsoft, Youtube selling itself to Google, etc
All of these affect the number of IPOs. I don't think it can be pinned on something as abstract on stock market decimalization.
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