> In this context, an undervalued IPO every once in a while is more like a perk to a valued customer -- it's the equivalent of the bouquet of flowers or bottle of wine a company might send to a regular Joe.
LinkedIn agreed to the IPO price. Presumably they felt that undervaluing the stock had enough PR benefits.
(These stories about the IPO pricing, where LinkedIn gets to be portrayed as honest entrepreneurs ripped off by an evil bank, surely is an additional PR victory they gained from this move.)
Yes, but that perk is paid for by LinkedIn.