[Ilugc] [OT] problems with microsoft
- From: siva@xxxxxxxxxxx (Sivasankar Chander)
- Date: Wed Feb 2 18:19:07 2005
In most cases , the founder would be a share-holder with huge
number of shares. But they seldom hold 50%+ shares. If someone
wants to really make some difference, they should form an
association and buy the shares of microsoft from open-market and
change the board of directors and also CEO.
The market-capitalization of Microsoft is approximately $290B.
You'll need to come with $145B (more than the entire forex
reserves of India) to be able to buy 50% of Microsoft, even
assuming that this buying exercise does not increase the share
price. I can think of many better uses for $145B.
Say if several lakhs
of anti-microsoft people world-wide form an association and with
small contribution from each one, they can buy easily 50%+
shares of microsoft and change the management or the board of
directors and make the company to go in the desired direction.
Exactly why should they spend $145B to buy shares in a company
that they dislike, at a high premium to the book value? Microsoft
only has about $30B in cash, so 50% would only give them a claim
on $15B in cash held by the company.
If you give me Rs.10, I'll be very happy to give Re.1 back. I'll
keep this offer open for all idiots^H^H^H^H^H^Hinvestors in the
bridges that I have for sale :-).
-Siva
P.S. The difference between the $30B cash and the $290B market-cap
is the huge goodwill of Microsoft, which gives them the leverage to
raise funds, borrow money, etc. at very favourable terms.
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