(Total Views: 333)
Posted On: 12/27/2023 1:32:46 PM
Post# of 32970
It can work a lot of different ways.
Offers can be cash, cash & stock, or all stock of the buying company.
The company that buys Verb would be larger.
If they are private, they could use Verb to reverse merge to list on the NASDAQ.
If they are private, they may want to continue to be private
If they are public, they would likely collapse Verb into their existing ticker.
In my view, timing is everything. A buyer would not want to wait until Verb is valued at billions. The sweet spot would be a valuation between $100M-$500M. Investors can decide if they are already in that range today or next year. It will be interesting to see the next valuations of other Live Shopping companies.
$100M valuation would be $5/share, but others can check the math
$500M valuation would be $25-ish
What is key for Verb is...
1.) Build the platform. I believe they did.
2.) Make strategic partnerships. I believe they did (i.e. TikTok, Shopify, Bestbuy, etc).
3.) Prove out the model. I believe they did.
4.) Show how fast your can scale/accelerate. We are here.
#4 will dictate everything.
Keep in mind. Who's to say Verb hasn't already discussed a buyout? We wouldn't know about any informal talks.
Offers can be cash, cash & stock, or all stock of the buying company.
The company that buys Verb would be larger.
If they are private, they could use Verb to reverse merge to list on the NASDAQ.
If they are private, they may want to continue to be private
If they are public, they would likely collapse Verb into their existing ticker.
In my view, timing is everything. A buyer would not want to wait until Verb is valued at billions. The sweet spot would be a valuation between $100M-$500M. Investors can decide if they are already in that range today or next year. It will be interesting to see the next valuations of other Live Shopping companies.
$100M valuation would be $5/share, but others can check the math
$500M valuation would be $25-ish
What is key for Verb is...
1.) Build the platform. I believe they did.
2.) Make strategic partnerships. I believe they did (i.e. TikTok, Shopify, Bestbuy, etc).
3.) Prove out the model. I believe they did.
4.) Show how fast your can scale/accelerate. We are here.
#4 will dictate everything.
Keep in mind. Who's to say Verb hasn't already discussed a buyout? We wouldn't know about any informal talks.
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