Merger and Acquisition metrics
December 14th, 2007 by Benjamin KuoColin Stewart, a blogger over at the Orange County Register, commented today on the buyout of Irvine-based U-Nav by Atheros, mentioning that the deal values the firm at roughly $1M per employee — roughly par for the course as M&A deals go. While the professionals mostly concern themselves over multiples of revenue a company sells for, for a lot of venture backed companies without publicly available revenue numbers, it’s often useful to compare the buyout price given their employee levels–along with how much in venture capital went into the firm–to figure out if the deal was a dud or not.
