Hi advalorem -
Regarding PRISM, the only valuation model available to us is the 1% stake of PRISM from NT [and WCG each] for $10MM a few months ago. So, it was worth $1B in a biz-to-biz arrangement. Since then, more infrastructures and POPs are added. There is a caveat though. Obviously, NT's investment has other benefits, like PRISM buying NT gears. However, this is a pre ipo value. I'd like to think it should worth a lot more if it is valued as a public company. Since that time, a lot of things have happened. Its peers like COVD and RBAK have come down quite a lot. COVD cap is ~3B and RBAK ~10B. Conservative, I like to tag PRISM at $2B. That leaves CDOV and CDO core biz at $2.6B. CMGI, ICGE and SFE caps are 18B, 9B and 5B respectively. Throughout these years, CDO has spent about 1.7B in venture capital, so, even if we put in a 2x, i.e., 3.4B, we come to a negative valuation for CDO core biz, which in themselves are hugely profitable cash cow.
I understand the above is a bit amateurish, but quite conservative, IMHO. One can say why this is not reflected in the market, to which I have no answer. So, yes, it has been tough, but I am hopeful as long as she doesn't breach 28!
fingers crossed :)!
best, Bosco |
