From the What’s It Worth? Department - big news in the world of finance today: the great minds at Goldman Sachs have conjured up a way for wealthy investors to get a piece of the Facebook action without actually having to take the company public.
Plunking down $450 million of its own money for a share of Facebook common stock which values the Internet equivalent of a high school lunchroom at $50 billion, Goldman won the right to create a “special purpose vehicle” whereby a select list of its own wealthiest clients can pony up an additional $1.5 billion to fund Facebook’s operations and, presumably, reward its founders and directors for being brilliant, savvy players in the post-Crash era.
Hey, well, bully for them all around. Smoke ‘em if ya got ‘em, as the old saying used to go.
Just for kicks, though, I thought I’d poke around and see what $50 billion looks like in today’s world. While it won’t buy what it used to back in the day (ie: the entire gross debt of the United States was about $50 billion in 1940; it is over $1.3 trillion today ), you can still take down some pretty rad gear for that kinda dough. Read more…