Why does a company need to raise so-much-money before going public?
To spend it on a drastically raising revenue before the IPO: "...Our revenue grew by 785% last year so buy shares of our $xx billion company..."
*Isn't the whole point of "going public" to raise money?"
Nope, many times (if not most) it's to get the money back and then some for the early investors.
To spend it on a drastically raising revenue before the IPO: "...Our revenue grew by 785% last year so buy shares of our $xx billion company..."
*Isn't the whole point of "going public" to raise money?" Nope, many times (if not most) it's to get the money back and then some for the early investors.