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Series A valuations, M&A in 2024, and M.A.N.G with Jason Shuman and Raja Doddala | E1883

This Week in Startups

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Financial Engineering and Double Counted Valuations in Investment

The speaker discusses the concept of providing chips to capture upside in stock trading as a form of old school financial engineering. They highlight that the asymmetric equity investment in a company can lead to inflated valuation, potentially resulting in double counting of valuation in two companies. The speaker advises new shareholders to carefully consider buying at the new inflated price, drawing parallels to similar situations in other industries such as healthcare and Clovio's IPO.

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