Craigslist founder: Just say "No" to M&A

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Social networking is on fire. For example, there are rumors that Yahoo! will buy Facebook for about $1 billion. And, this week, a stock analyst hypothesized that MySpace has a value of $10 billion to $20 billion.

With those kinds of valuations, Wall Street bankers are certainly salivating and are hunting-down social networking deals.

One company that would definitely fetch a huge valuation is Craigslist. The firm, which provides a community of classified ads, is growing at an astronomical rate. What's more, it is taking market share away from the newspaper biz.

The problem: the founder of Craigslist, Craig Newmark, is kind of a renegade. And, unlike most people in the world, money is not an incentive for him.

That's the word from a report from Reuters. In fact, Newmark's main comment was: "Who needs the money?"

Well, Wall Street would like the money. And I'm sure bankers are cold calling – and emailing – his firm on a daily basis. But, this must be one of those very rare cases when Wall Street's biggest asset – money – is completely useless.

Tom Taulli is the author of various books, including the Complete M&A Handbook and operates InvestorOffering.com.

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Last updated: February 09, 2010: 05:04 PM

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