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<p>If Softbank is making so much more income than Yahoo!, which is a ludicrous thought, that either they are squandering their money down the drain or they are cooking the books. How else can Yahoo! be worth so much more if it's income is substantially lower?>>>>>>></p>
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<p>Man, wut do you want? A free lesson in equity valuation? If you were a Bear, maybe, but u go to Stanfurd. </p>
<p>Anyways, Softbank used to own over 30% of Yahoo. </p>
<p>In 1996 when Softbank made a mezzanine round financing of Yahoo, Softbank's worldwide revenues of over 1.2 Trillion Dollars. </p>
<p><a href="http://edcorner.stanford.edu/stvplib/STVP259.pdf%5B/url%5D">http://edcorner.stanford.edu/stvplib/STVP259.pdf</a></p>
<p>You can read there about how Stanfurd Asian begged a Berkeley Asian for money and proper valuations. </p>
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Softbank Corporation was a large Japanese holding company formed in 1981 by Masayoshi Son. The son of Korean immigrants, he moved to the United States in 1973 to study English. Son graduated from the University of California at Berkley in 1980 with a B.A. in Economics. After graduation, Son decided to move back to Japan where he started Softbank. Softbank started out selling various computer products, and soon became the largest distributor of packaged software and personal computer peripherals in Japan. Son quickly expanded his holdings, and in 1988 Softbank formed its first non-Japanese subsidiary, Softbank America. In 1990, Softbank formed a joint venture with Novell Inc, forming Novell Japan. This led to subsequent investments with companies such as Canon, Fujitsu, NEC, Sony and Toshiba. In 1994, Softbank embarked on a joint venture with Cisco along with 12 other Japanese firms, to form Nihon Cisco Systems. Later that year Softbank went public, listing on the Tokyo Stock Exchange. By 1996, Softbank had made significant investments into the world of multimedia, purchasing a majority share in the Ziff-Davis Publishing Company and by acquiring COMDEX and several other companies. Softbank reported worldwide revenues of over 171 trillion yen for FY 1995.
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<p>So anyways, as you can see, Yahoo used to be one of Softbank's many wives and concubines. Yes, Jerry Yang used to be Mayasoshi Son's 10th Bitch and Concubine. </p>
<p>So since the most successful Stanfurd Asian in business used to be the 10th bitch in line for Berkeley's most successful Asian in business, I can totally understand why you have such difficulty understanding valuation methodologies of a pre IPO non profitable internet company. I mean jeez, at least Jerry Yang could have been the top dicksucker in Line for Mayasoshi, but NOOOO he had to be number 10 dicksucker in Line. Oh wells, I guess you get what you pay for.</p>