Tag Archives: Valuation

M&A: Price vs Value with Aswath Damodaran

Through the end of September ’16, we’ve seen a number of high-profile tech M&A deals: Microsoft’s acquisition of Linkedin, Unilever’s acquisition of Dollar Shave Club, and Walmart’s acquisition of Jet.com.  The largest US tech companies (Apple, Google, etc.) have plenty of cash to spend, so perhaps this trend will continue.  Either way, the current cycle has produced plenty of valuation debates.  Here is NYU Professor Aswath Damodaran to remind everyone that price does not equal value:

Negotiating to Reach a Fair Term Sheet

In this presentation, Carl Showalter of Opus Capital discusses term sheet negotiation.  Opus Capital is an early-stage VC firm that focuses primarily on seed and series A technology investments.  Presentation topics include: (1) cap table and valuation, (2) board structure, (3) liquidation preferences, (4) protective provisions, and (5) other considerations.

Value a Business Using Market Size: Airbnb Case Study

Private tech company valuation was hot topic in 2015.  In this case study, Mike Puangamali of NonGAAP explains how and when market size should be used to value a business.  “No single valuation method is perfect, but certain situations will favor some valuation approaches over others.”

Value A Business Using Market Size: Airbnb Case Study – NonGAAP

“A paperclip can be a wondrous thing. More times than I can remember one of these has gotten me out of a tight spot.” – Angus MacGyver How to value a business can feel like a MacGyver scenario at times given the constraints.