Snapchat
$1.2 billion
Type: Equity
Location: Venice
Investors: General Atlantic, Sequoia Capital, T. Rowe Price, Lone Pine, Glade Brook Capital, IVP, Coatue Management, and Fidelity
Description: The cash infusion comes as Snapchat boasts a fast-growing and deeply engaged audience. The startup told investors in February that it has more than 100 million daily users who spend an average of 25 to 30 minutes on the app each day. Snapchat generated $59 million in revenue last year, according to an investor deck obtained by TechCrunch. The company has set internal sales targets of $250 million to $350 million for 2016, and $500 million to $1 billion for 2017, according to that slide show.
Victorious
$25 million
Type: Equity
Location: Santa Monica
Investors: Series B round funding came from Marker, Dentsu Ventures, Kleiner Perkins, and Redpoint Ventures.
Description: Victorious has raised a round to expand its services internationally and improve its app development capabilities. The firm focuses on developing apps that serve super fans, individuals who consume above average amounts of content from internet celebrities and have appetites for more. Victorious’ apps have picture and video sharing features, as well as chat rooms for fans. In addition to building apps for internet celebrities, the company has developed apps for multichannel networks such as AwesomenessTV and Fox Entertainment Digital Inc.’s “X-Men” movie franchise.
March Capital Partners
$240 million
Type: Venture fund
Location: Santa Monica
Investors: Undisclosed
Description: The majority of the fund will be dedicated to Series A investments in enterprise-software companies, with the rest of the fund going towards Series B and Series C investments. About a third of the fund will be invested in Southern Californian companies. The venture capital firm has already invested more than $100 million in 15 companies including AppCito, Bridg, CarTrade, Dojo Madness, E8 Security, OpenHouse, and Pensa.
Kelly Slater Wave Co.
Undisclosed
Type: Sale
Location: Santa Monica
Buyer: World Surfing League
Description: The WSL and Kelly Slater Wave Co. are planning to build a network of surfing training centers around the world using the artificial wave-creation technology that was developed by pro-surfer Kelly Slater to simulate the perfect wave. “Surfing great waves in a controlled environment adds a new dimension, as there is no hassling for waves, no stress over who got the best wave – they are all good,” Slater said in a statement. “Everyone can relax, have fun and focus on improving their surfing.” For the WSL, the prospect of having a consistent and predictable wave means it may allow spectators better viewing and could make scheduling of surf competitions easier.
Fame House
Undisclosed
Type: Sale
Location: Philadelphia
Buyer: Universal Music Group
Description: In a push to further diversify its business, Universal Music Group has acquired Fame House, a digital-marketing agency with musician clients such as Eminem and Pearl Jam. Terms of the deal were not disclosed. UMG of Santa Monica has diversified into a range of business in order to maintain its position as the market leader among record labels during a time when traditional record sales have fallen. The acquisition of Fame House was made improve to the company’s ability to generate revenue for its labels and musician clients online.
HelloTech Undisclosed
Type: Merger
Location: Santa Monica
Other firm: Geekatoo
Description: In a move that greatly expands its service area, in-home tech-support company HelloTech has merged with rival Geekatoo of San Francisco. The merger will add Geekatoo’s 7,000 independently contracted IT technicians in all 50 states to HelloTech’s team of about 150 technicians in Southern California. The company will also gain technical support expertise in video game system setup and small business IT support. The merger will help prepare the combined company for an expected surge in demand for in-home tech support coming over the next several years.
