Valuation at exit: $19bn VC investors: Sequoia Capital Facebook’s acquisition of Whatsapp heralds possibly the largest deal in history for a VC-backed start-up, breaking records in February 2014. This included $4bn in cash, $12bn in restricted stock units and $12bn in Facebook stock. According to PichBook data, “WhatsApp has had a secretive funding history, but new details show the company raised a $257,000 seed round in 2010, followed by its only publicized VC round in April 2011, an $8m Series A led by Sequoia. In mid-2013, Sequoia invested an additional $52m in a Series B round that valued WhatsApp at approximately $1.6bn pre-money.”
Google (Nest)
Valuation at exit: $3.2bn VC investors: Kleiner Perkins Caufield & Byers, Lightspeed Venture Partners, Shasta Ventures, Venrock The acquisition of Nest is almost double of what Google paid for YouTube in 2006. It was set to be one of the biggest paybacks to date. In an article written by Eric Wesoff it is explained that “Nest is estimated to have had a run rate of $100m per year, so Google paid 30 times revenue, and the VC investors got a very, very strong return.” Kleiner Perkins & Caufiled & Byers gained a 20x return on their $20m investment in Nest in 2010, and Shasta Ventres invested $250m, they got a $200m return.
Apple (Beats Electronics)
Valuation at exit: $3bn VC investors: Carlyle Group Apple is hoping that this deal will make the company “cool” again, with Dr Dre and Jimmy Lovine joining the company. This was echoed by Sony CEO Doug Morris, who suggested that “Apple was starting to lose their edge”. However, in a rare move by Apple, they will continue to sell products under the Beats brand. “We think these guys have a very rare talent,” said Apple CEO Tim Cook. “We love the subscription service that they built—we think it’s the first subscription service that really got it right.” Apple paid $2.6bn in cash and $400m in equity to buy Beats Electonics. Image source
We use cookies on our website to give you the most relevant experience by remembering your preferences and repeat visits. By clicking “Accept”, you consent to the use of ALL the cookies.
This website uses cookies to improve your experience while you navigate through the website. Out of these cookies, the cookies that are categorized as necessary are stored on your browser as they are essential for the working of basic functionalities of the website. We also use third-party cookies that help us analyze and understand how you use this website. These cookies will be stored in your browser only with your consent. You also have the option to opt-out of these cookies. But opting out of some of these cookies may have an effect on your browsing experience.
Necessary cookies are absolutely essential for the website to function properly. This category only includes cookies that ensures basic functionalities and security features of the website. These cookies do not store any personal information.
Any cookies that may not be particularly necessary for the website to function and is used specifically to collect user personal data via analytics, ads, other embedded contents are termed as non-necessary cookies. It is mandatory to procure user consent prior to running these cookies on your website.