Yes, this can happen in a few different ways and is the reason why Ycombinator created SAFEs. When you have a public company you will get offers for what are called "credit lines", "debt financing" or "convertible notes". They are traditionally used to create death spirals https://www.investopedia.com/ask/answers/06/deathspiralbond.... as the size of your float increases by you, executive director (CEO/CFO), as a public company "issuing" more stock to cover the loan. The more you issue, the less you're worth until somebody comes along scoops you up and re-engineers the cap table which is a restructuring. However, manipulation can occur within institutions as well: https://news.ycombinator.com/threads?id=KasianFranks&next=14...
