Although to the extent that the founder’s savvy is used for the purpose of taking the company public even though their product is not as good as they “pre-truthed” it, then the ultimate purpose is that the founder and the early investors are essentially colluding to defraud less-savvy IPO investors. Seems not great.
SQZ Biotech is possibly a good example of this (I live nearby so have followed the story but don’t have any inside info about this company).
Although to the extent that the founder’s savvy is used for the purpose of taking the company public even though their product is not as good as they “pre-truthed” it, then the ultimate purpose is that the founder and the early investors are essentially colluding to defraud less-savvy IPO investors. Seems not great.
SQZ Biotech is possibly a good example of this (I live nearby so have followed the story but don’t have any inside info about this company).