Google's IPO Trading Defies Dutch Auction Logic?

Posted by CowboyNeal on Thursday August 19, 2004 @03:07PM from the opening-day-hijinks dept.

TopShelf writes "Today's first-day trading gains for Google may not have just been the result of ambitious day-traders. This story from CBS Marketwatch alleges that Google deliberately set the $85 IPO price well below the true clearing price of their Dutch Auction, and issued fewer shares than expected, perhaps with the intent of limiting supply and assuring themselves a nice runup during the first trading day. In the story's informal survey, winning bidders only received 75% of the shares they should have."

1 of 349 comments (clear)

Re:Mark my words by Anonymous Coward · 2004-08-19 18:00 · Score: 0, Troll

Googles actions so far have shouted "evil" and they will only get much worse with so much money to play with. The only reason they say "do no evil" is because they are, in fact, doing evil.

How and why /. turns a complete blind eye to it is a great mystery.