What would happen if MS bought Nintendo? Good or bad?

[DD_Bwest]

Dr.Henry_Killinger said:

DD_Bwest said:

nintendo will never sell its assets like that, 

How do you know? There is not really precedents for this kind of thing.

they only way MS could buy nintendo would be a buyout. 

A buyout is a lot more complicated, and would require MS investing in Nintendo rather than simply buying it.

also the OP question was if they aquired nintendo,  not nintendo's assets and IP's.   When people say one company aquired another its a buy out.

That doesn't make much sense considering Nintendo's assets are what it consists of.

and are you really suggesting that 5-10 billion in cash, bonds and investments doesnt ad much to its market cap?

It raises its stock value but not its market value. The shareholders own those investments/bonds hence they own that "cash"

MS would need a controlling stake which is even more unlikely than Nintendo as a whole being sold off.

Thus if MS was buying out Nintendo, then yes it then the cash reserves would be applicable, but only because it drives the stock price up. It has little to do with the market value directly, just like the stock price has little to do with the market value directly.

youve already agreed that we wouldnt ever see them liquidate its assets,  and now your argueing that we dont know that?     and at the end there you agree that the cash reserves would be applicable in that situation.   

so now your trying to argue the semantics of what we are going to call nintendos value with or without its cash reserves?   or which is more likely, a hostile takeover or a 15 billion dollar company liquidating the only assets it really has that makes money (other than interest from investments) and than dissolving itself?