WhatsApp on the asset valuation front?

Description

There are established ways of estimating future returns, but these cannot be applied to the Facebook deal. With the announcement of the Facebook-WhatsApp deal, there has been a spate of articles on the buyout. While some tried to explain it in terms of the "principles" of valuation, others tried to show how valuation is nothing but mumbo jumbo masquerading as science. So, what is financial valuation? It is nothing but a set of principles to estimate the value of an asset. The asset may be an equity share, a business, a distribution network, a licence to exploit a patent or a brand — just about any investment that will provide a series of cashflows in future in return for a consideration to be paid today. Read more at: https://www.thehindubusinessline.com/opinion/WhatsApp-on-the-asset-valuation-front/article20734464.ece#a

Publication Date

5-3-2014

Publication Title

The Hindu Business Line

Publisher

THG Publishing Pvt. Ltd.

Keywords

Valuation, Financial valuation, Investment

Source Link URL

https://www.thehindubusinessline.com/opinion/WhatsApp-on-the-asset-valuation-front/article20734464.ece#

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