Professional
social networking
site
LinkedIn has valued itself at £500m after its latest injection
of cash from venture capitalists.
A LinkedIn spokesman said, "The valuation marks the first time
an internet company has reached the £500m mark since 2000, and
surpasses recent valuations for other social media networks. This
is an indication of the strength of the company's established
business model and future opportunity."
The driver for LinkedIn's £500m claim is an injection of £26m
from a number of venture capitalists led by new investor Bain
Capital Ventures. Other firms to chip into this pot are existing
investors Sequoia Capital, Greylock Partners, and Bessemer Venture
Partners.
This fourth and largest round of funding "is based on the
company's rapid member growth, multiple business models and future
opportunity", said LinkedIn.
"LinkedIn's business model is a proven mix of revenues evolving
beyond advertising, to include job search, subscriptions and
corporate recruitment," it said.
The company has 23 million users worldwide and is growing
rapidly.
Kevin Eyres, European managing director at LinkedIn,
said,"Europe is an integral part of LinkedIn's growth strategy. The
new funds will enable us to invest more heavily in the European
market, a geography for whom networking and business
knowledge-sharing continues to accelerate.
"The investment will help our members derive more value from
their network so that each individual and business can more
effectively compete on the global market,"