Another Day, Another Angle To Vonage's Bungled IPO

from the i-p-oops dept

Every day seems to bring yet another tale of ineptitude from Vonage's horrifically performing and poorly executed IPO. It began with reports of bugs in the share allocation process and then went to a flip-flop on whether or not disappointed customers would actually have to pay for the shares they'd committed to purchase, but it's a little older issue that's the source of the latest story. Vonage got dinged for a technical violation when it solicited its customers with an offer to get in on the IPO, and the company now says those errors could make the sale an illegal offering, allowing buyers to claim damages or get the company to buy back their shares. The company claims it has a strong defense against such charges, but it's inevitable that this whole thing is going to end up in court -- assuming the naysayers aren't right and Vonage can stay in business that long. This IPO has pretty much been a mess from top to bottom, and it's a fair question to wonder how much good it's ultimately going to do the company.

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  1. identicon
    Louie, 3 Jun 2006 @ 12:10pm

    Damage to Vonage?

    How can Vonage be damaged any more than it is? No plans to ever be profitable. A leader banned from securities activities for life. A product that stinks. Misleading marketing. Misleading securities execution.

    When is everyone going to wake up and realize that Vonage is working the lowest common denominator of human nature - GREED? Face it. You're not going to get free phone service that works very well. You're not going to make a fortune on an IPO. You really aren't going to get "something for nothing"...not even screwed.

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