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by 100-xyz
2456 days ago
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Valuation is based on what percent of shares an investor buys for how much. eg; if I buy 5% (0.05) of a company for 100$. The company valuation would be 100 / 0.05 = 2000$. It can be a little more complicated with post and pre buy valuation, but that is the general idea. |
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