Thursday, November 24, 2011

HEARD ON THE STREET: Social Media's Selloff - WSJ.com

That didn’t take long

Groupon's IPO looks a particular disaster. Barely three weeks after selling just 6% of its shares outstanding to the public, Groupon's share price is in free-fall. At $16.96, where Groupon closed Wednesday, shares are already well below the initial public offer price of $20. Doubts about Groupon's business model had been well-publicized. Still, among technology IPOs dating back to 1995, Groupon offered the fourth smallest number of shares as a percentage of those outstanding, according to Dealogic. That was likely a key factor behind its strong debut.

HEARD ON THE STREET: Social Media's Selloff - WSJ.com

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