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They are not "basically owned" by a private equity firm. They have raised money at high valuations, and I strongly doubt that they have sold away a controlling
by ryporter 10y ago
They are not "basically owned" by a private equity firm. They have raised money at high valuations, and I strongly doubt that they have sold away a controlling stake in the company. So, they still get to make their own decisions.
They are definitely bringing in real revenue. Many firms have raised substantially more than they need to, because they have been well aware that funding could dry up.
- bane 10y agoThey've raised more money under private equity than all the rest of the rounds combined x 5. The last round, by a private equity firm, was almost the size of all other raises combined. They've raised 15 rounds that are publicly known. Every single raise since Sep 2013 has been under private equity. This sounds more like the company is being sold on the private market and each new owner is putting in a year's worth of cash infusion for operating costs. Are those fund raising rounds? I dunno. But it's one of the weirdest fund raising profiles I've ever seen.