Advertising - Wednesday, March 7, 2007
Techcrunch: FM For Sale/Buying Companies/Raising Money. False Says Federated.
Techcrunch runs with the story that blog ad network Federated Media is raising funds, plans acquisitions, and expects to be bought this year. CEO John Battelle responds that none of this is true.
We would expect that Battelle is on the level and FM is making biz building the priority, not corporate development, but It's all about valuation. If FM finds a startup that has valuable ad serving technology that can be had on the cheap why not buy it? If VCs want to invest in FM at a crazy valuation why not take the cheap money? If AOL loses it and offers FM 40x revenues why not do this thing?
Read - Federated Media Raising More Money, Looking to Sell (Techcrunch)
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