Breakup Value

The sum total of the worth of a company’s individual assets.

Gordon is a vulture investor who owns a small lizard that he licensed to GEICO for their commercials. He makes his money by buying financially distressed companies and selling off their various departments. He recently bought Jenga Corp., which manufactures guns and butter, for $10 million.

Gordon’s research showed that, after churning the cream, Jenga had been pumping it into the gun molds, making gun-shaped pats of butter.

He realized that the breakup value of Jenga was more than twice his investment by selling the dairy-related assets to a local farmer for $500,000, and the gun molds to Smith & Wesson Corp. for $25 million.

No relation to what happened when the Biebs said bye to Taylor Swift.