Friendster sold for a song

The announcement that Friendster was sold to Malaysian conglomerate MOL last week included speculation that the social networking giant garnered $100 million (€68m )in the transaction.

However details have emerged that the figure was closer to just $30 million, according to TechCruch.

While valuations of the company placed the asset somewhere between $98 and $273 million, Techcrunch’s sources claim it settled for just $39.5 million.

The final take home amount ncluded 13 million in deductiosn including; $3.7 million in secured debt; a $2.1 million sale bonus for Friendster CEO Richard Kimber and $3.4 million to Morgan Stanley and other third parties.

Shareholders may not be pleased with the final outcome as the company’s last venture capital round, over a year ago was $20 million and back in 2003 the social networker rejected a $30 million takeover from Google.

 

Suggested Articles

Wireless operators can provide 5G services with spectrum bands both above and below 6 GHz—but that doesn't mean that all countries will let them.

Here are the stories we’re tracking today.

The 5G Mobile Network Architecture research project will implement two 5G use cases in real-world test beds.