Comments on: Glam Raises $50 Million Mezzanine Round at $750 Million Valuation http://paidcontent.org/2010/02/03/419-glam-raises-50-million-mezzanine-round-at-750-million-valuation/ The economics of digital content Wed, 22 May 2013 08:14:01 +0000 hourly 1 http://wordpress.com/ By: Deanna http://paidcontent.org/2010/02/03/419-glam-raises-50-million-mezzanine-round-at-750-million-valuation/#comment-76755 Wed, 03 Feb 2010 23:09:06 +0000 http://paidcontent.wp.gostage.it/2010/02/03/419-glam-raises-50-million-mezzanine-round-at-750-million-valuation/#comment-76755 ok folks, this is a simple as, “hey if we keep hinting at an IPO, someone might buy us”. “Hope it happens before we blow our dough.” Sham Media.

]]> By: Bill http://paidcontent.org/2010/02/03/419-glam-raises-50-million-mezzanine-round-at-750-million-valuation/#comment-76754 Tue, 02 Feb 2010 20:56:03 +0000 http://paidcontent.wp.gostage.it/2010/02/03/419-glam-raises-50-million-mezzanine-round-at-750-million-valuation/#comment-76754 @jenkins, Good point, you are correct — was only looking at valuation and total raised.

]]> By: jenkins http://paidcontent.org/2010/02/03/419-glam-raises-50-million-mezzanine-round-at-750-million-valuation/#comment-76753 Tue, 02 Feb 2010 20:24:03 +0000 http://paidcontent.wp.gostage.it/2010/02/03/419-glam-raises-50-million-mezzanine-round-at-750-million-valuation/#comment-76753 I agree that it’s better to stay private if you don’t have the numbers but I am not sure how you know they only suffered tiny dilution. There may have been warrants given or other preferences given that make the actual dilution look higher. They may have also had to increase the employee option pool and so many other things could affect ownership.

]]> By: Bill http://paidcontent.org/2010/02/03/419-glam-raises-50-million-mezzanine-round-at-750-million-valuation/#comment-76752 Tue, 02 Feb 2010 20:02:47 +0000 http://paidcontent.wp.gostage.it/2010/02/03/419-glam-raises-50-million-mezzanine-round-at-750-million-valuation/#comment-76752 Much better to do a round and remain private- specially given the valuation and the tiny dilution raising $50M is for them. Gives them time to build the company to a bigger better public company in the future. Facebook, Glam, Zynga all taking capital and waiting to do a bigger IPO’s in the future.

]]> By: jenkins http://paidcontent.org/2010/02/03/419-glam-raises-50-million-mezzanine-round-at-750-million-valuation/#comment-76751 Tue, 02 Feb 2010 19:58:15 +0000 http://paidcontent.wp.gostage.it/2010/02/03/419-glam-raises-50-million-mezzanine-round-at-750-million-valuation/#comment-76751 Let’s cut through the spin, folks. No one has the choice between a successful IPO and raising money. This is one of those inside jokes, ya know? Let me briefly explain:

If you think you can really truly get investors excited enough to buy your story and buy your stock, you will do it. This also means that you have supreme confidence that you can continue to grow and beat your numbers over the following 18 months or so.

If you are not very sure of this then you take money because the IPO route wasn’t really available to you. You then go out and tell people that you thought long and hard, but eventually decided to dilute the heck out of the company instead!

]]>