I don't think Speakeasy's valuation is comparable to that of a fixed wireless operator. One thing to keep in mind though is that while a revenue multiple is a reasonable way to value a company you need to think about what the actual result would be. For example, we offered to buy another WISP for 3x revenue, but since their revenue was so low they couldn't afford to sell their business.
Most owners have some idea of how much money they need in order to sell their business. I would suggest you take that number and find out what kind of multiplier you would need to sell. If you find that multiplier well beyond what the market will accept then you can forget selling your business. -Matt -----Original Message----- From: [EMAIL PROTECTED] [mailto:[EMAIL PROTECTED] On Behalf Of George Rogato Sent: Monday, April 02, 2007 8:17 PM To: WISPA General List Subject: [WISPA] Is your ISP worth more than 1.2x ? Speakeasy went for 1.2x annual revenue. What is a smaller isp worth? http://www.speakeasy.net/press/pr/pr032707.php Best Buy anticipates a closing date for the transaction in the first quarter of its 2008 fiscal year. Following the close, Speakeasy would operate as a wholly owned subsidiary of Best Buy. The company disclosed the purchase price of approximately $97 million, which represents approximately 1.2 times Speakeasy's calendar year 2006 revenue of $80 million. Best Buy currently expects the transaction to be neutral to fiscal 2008 earnings. -- George Rogato Welcome to WISPA www.wispa.org http://signup.wispa.org/ -- WISPA Wireless List: wireless@wispa.org Subscribe/Unsubscribe: http://lists.wispa.org/mailman/listinfo/wireless Archives: http://lists.wispa.org/pipermail/wireless/ -- WISPA Wireless List: wireless@wispa.org Subscribe/Unsubscribe: http://lists.wispa.org/mailman/listinfo/wireless Archives: http://lists.wispa.org/pipermail/wireless/
