Comment on The IPO Markets - Part 1

Mihir commented on 04 Oct 2018, 06:32 PM

I did not understand the 10 fold increase in valuation. If the Series A investor is putting in 7 Cr, the actual fund in the company bank account is 12 Cr. But if we check valuation in terms of shares, it is 50 Cr.
So the actual asset company owns is of value 7 Cr but the company can quote a valuation of 50 Cr in the market?
I am confused!

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