Comments by "Jeremy Barlow" (@jeremybarlow2291) on "" video.

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  2. h h the Koch’s are very different than Bezos or Gates or Zuckerberg because their business is a privately owned company whereas the others are publicly held. The paper value of Amazon, Microsoft, and Facebook is controlled by a heavily traded liquid market, whereas the value of Koch Industries is because of its physical assets and cash reserves, with some value added for its goodwill and its inherent value as a going concern. When it comes to Amazon or Microsoft or Facebook, their valuations are highly padded by the public market. Neither Amazon nor Facebook earns more than $30 billion per annum in profit, yet both have been valued well north of 15 or possibly as much as 30 times annual revenue or more. By contrast Koch Industries brings in about $100 billion per annum and is the second largest privately held company in the world and the brothers who until one of them’s recent demise who owned it each had a net worth of only about $50 billion each by their estimates. Realistically, most privately held companies have a market valuation of between 2 and 5 times annual earnings when sold. Amongst Koch Industries’ many holdings is included Georgia Pacific. That well known construction materials company alone was valued at over $13 billion by the publicly traded market when Koch purchased it and took the business private. North of 90% of Koch revenue is reinvested into the company and its growth annually via acquisitions and investments in new physical facilities and equipment. If Koch were a public company it is safe to say that the estate of the late David Koch and his brother’s fortune would both easily be valued at north of $500 billion as the company would easily be valued at in excess of $1 trillion in the public market.
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