SoftBank to take control of WeWork: Sources

Re:SoftBank to take control of WeWork: Sources by H8crilA on Monday October 21, 2019 @09:05PM (#21319353)

The future profits only need to be higher than the $5B plus whatever they can get today from liquidating their existing holding. Sunk cost fallacy, or "what is done is done".

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Re:SoftBank to take control of WeWork: Sources by sicromoft on Monday October 21, 2019 @09:32PM (#21319514)

Don't forget opportunity cost. The future profits need to be higher than the $5B plus liquidation value, PLUS the expected value of another investment at the margin.

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Re:SoftBank to take control of WeWork: Sources by H8crilA on Monday October 21, 2019 @09:40PM (#21319561)

Oh yeah you can use the yield curve to discount future flows, and then demand something extra on top of that (Graham's margin of safety).

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