Nintendo has Moneyz in the bank .... a lot

[Ail]

shams said:
I think its a great strategy. It also makes it (almost) impossible for any company to consider purchasing them - for less than a zillion Yen anyway. If they keep this up, as a company they may *never* fail.

If Capcom or Sega has a bad year or two - Nintendo could jump in, bail them out - and own them outright.

...and they did buy Monolith (Day of Disaster) developer recently...

Just from "safe" investments with this cash (i.e. secure cash bonds) they could do a return of 2%-3% (i.e. no risk). Welcome to a fixed profit of $300m US/year - without lifting a finger.

 

Err ?

I don't understand.

Cash on hands actually make a company more attractive...

 

Lets say a company had a capitalization of 100 billion $ but has 10 billion $ of cash.

It would actually only cost you 90 billion$ to buy because as soon as the purchase is done you have those 10 billion $...