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Full Version: Why Goldman and Pritzker Sank Millions Into a Startup Before Suing It for Fraud
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The age-old method to cater to the human brain's need for certainty (and greed to an extent) is applicable to both retail and institutional investors i reckon - A guarantee of XX return, but the first question is always "Where is the assurance behind the guarantee?" Not much different from ostrich farming, Brazil social housing or teak wood plantations to name a few.

Why Goldman and Pritzker Sank Millions Into a Startup Before Suing It for Fraud

Last winter, Goldman Sachs Group Inc. presented Silicon Valley investors with what seemed like a hot opportunity in Chicago.
Advertising company Outcome Health was one of the city’s rising stars, run by a charismatic founder with close ties to local billionaire J.B. Pritzker. Revenue was soaring, profits were impressive, investors were promised a guaranteed return, and Goldman’s involvement gave Outcome the backing of a blue-chip firm.

Those were some of the highlights that led experienced startup investors to put $478.5 million into Outcome last spring at a valuation the company said was $5.5 billion. The investors placed the Outcome bet despite multiple warning signs, a Wall Street Journal examination shows, illustrating how even the savviest investors can gloss over potential issues in pursuit of a big score.
Outcome carried significant debt and had no independent board oversight. Its chief executive and co-founder, Rishi Shah, had publicly discussed how the company’s growth strategy required flawless execution to avoid selling something “that doesn’t exist.” He and his co-founder Shradha Agarwal would also reap an unusually large payout from that investment while maintaining control of the company.

Thought he was pretty smart to be able to "rope" in sooo many greedy investors! Tongue
sighz, anyway, they settled and is still multi-millionaires/billionaires, capitalist for u sir?!