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It's not a bubble when one VC backed company buys another for more than the value of their assets alone. That's how business is done. You can't expect Caviar's
by onewaystreet 12y ago
It's not a bubble when one VC backed company buys another for more than the value of their assets alone. That's how business is done. You can't expect Caviar's investors to sign off on an acquisition where they get no return at all.
- AznHisoka 12y agoI also find it silly. "OOh, we raised $13 million, and we say it's valued at $80 million dollars (even though the assets/product/tech is nowhere never $80 million and we're losing money everyday)! So you're just buying it at a 25% premium, Square! CHEAP! CHEAP!" -investors at Caviar "Hey guys, stocks is virtual money! I mean.. who's gonna repay the public when they buy our stock! Let's buy Caviar for $100 million stock! It's like we paid nothing!" - executives at Square Yup.. it's a bubble alright!
- 2pasc 12y agoIt's silly unless you know the numbers involved (revenues, growth, etc..). As far as I know nobody knows these numbers today (I know the ones from 6 months ago and they were better than most startups hope to ever get to).