Can LinkedIn CEO's hot air inflate the company's valuation?
LinkedIn CEO Dan Nye told Fortune that it would take a "helluva lot" more than $1 billion to get the company to sell.
Rumors have been flying about News Corp. being interested in LinkedIn, but the valuation could be sticky. Why not tell Fortune you're worth more, get Henry Blodget crunching a few numbers and see what you can get in this Facebook-inflated social media market?
Hell, maybe even Rupert Murdoch will read some of these dispatches and throw you an extra billion.
What's really going on here? Nye is "talking his book." When you see a portfolio manager on CNBC he talks about a few stocks he owns. Naturally, he wants you to run out and buy those stocks. He may even sell those shares to you. Every business exec talks his or her book.
Nye is no different. He's talking up LinkedIn so he drives up the price. Sure, $1 billion isn't enough, but there's always a price. Nye didn't deny that News Corp. is a bidder for LinkedIn, but his comments indicate that he wouldn't mind finding another suitor to boost the price.
He's talking his book.