Eli5 Couldnt Microsoft just buy all shares of Nintendo?

827 views

There is this story how Microsoft wanted/wants to buy Nintendo but was laughed out of the room. Is nintendo not a stock company? Couldnt Microsoft just buy 51% of all the shares? From what Ive seen the biggest shareholder is a japanese bank with 17%. Its not like somebody already owns the half.

In: 1530

22 Answers

Anonymous 0 Comments

There’s over a billion shares of Nintendo that exist, and only around 1 million for sale at any given time. So basically no. If Microsoft is buying all the available shares, the demand to buy shares will greatly outstrip the amount of shares available for sale, causing the price of shares to skyrocket, and making future purchase of more shares much more expensive.

You are viewing 1 out of 22 answers, click here to view all answers.