Topix with investment

Filed in archive Venture Capital on March 24, 2005

My favorite News aggregator makes headlines:

"Topix.net has been self-funded by its founders, without any VC
involvement. I know that the company did go up and down Sand Hill Road
at some point, so this corporate investment might either be a strategic
choice, or a fallback. Typical content deals are done at a 3 to 4x
revenue multiple these days, but it is not clear what was priced here:
technology, enabling new business models, improving the relevance of
advertising,...
Update: Bambi Francisco(sub req) is reporting that the investment was less than $5M, and that
the capital will be used to build the technology and allow founders to
pay themselves a salary.
Update of the update: the maths are more challenging than they seemed."