If it is an early stage company that has the ability to not just increase revenue&#x2F;customer but also total number of customers.<p>Also the competition in the bidding process matters. There are a limited number of players who can&#x2F;will swallow an acquisition this size. Public companies never get bought for these numbers. Why would Google bid that when a 30-40% premium would be enough for most shareholders to vote yes?<p>On twitter itself, I feel the quote, &quot;clown car that fell into a goldmine&quot; attributed to mark zuckerberg is pretty appropriate.