In case you didn’t know, eBay purchased Skype in 2005. Even at the time, a lot of people were sort of scratching their heads, but eBay apparently saw synergy where others did not.
Turns out, eBay ended up scratching their heads as well, and today the deal was announced. Skype has been sold to a group of private investors in a deal valued at $2.75 billion.
The buyer, who will control an approximately 65 percent stake, is an investor group led by Silver Lake and includes Index Ventures, Andreessen Horowitz and the Canada Pension Plan (CPP) Investment Board. eBay is expected to receive approximately $1.9 billion in cash upon the completion of the sale and a note from the buyer in the principal amount of $125 million. The company will retain an approximately 35 percent equity investment in Skype. The transaction, which is not subject to a financing condition, is expected to close in the fourth quarter of 2009.
It’s worth mentioning that eBay has lost a fair amount of money here – from the initial purchase valued at $4 billion to the money invested in Skype along the way. It looks like eBay is now adhering to the maxim of “do one thing and do one thing well,” as it is now left with the core online auction company and the complementary PayPal.
ZOMG Our angel and VC friends have done it again. They’d rather roast our insides than roast the turkey. Turn that portfolio company from turkey to turnkey. Joke’s on us, VC billionaires.
“”The best part was his reply to a question on how Fred changed his life: “I get attention from the senior girls in school, which is cool”. Excellent.”
Has the current economic climate caused our dear angel and VC friends to be delectably off-humor in their blog posts? Or are they merely giddy at the thought of becoming VC billionaires in the downturn?
10 Funniest Blog Posts by Angels and VCs this month:
“If you are running an existing startup, you are probably going to have to cut spending, cut hiring, and you may even end up firing people / doing layoffs. And then you pay taxes and then you die.“
“Your country is extremely lucky that it will have as a President someone who is universally acknowledged as the “deepest thinker to ever get in the Oval Office” “
“Paschalepist– one who believes that on the Sunday following the full moon closest in time to the vernal equinox, a fluffy white mountain hare (of the species lepus timidus) hides chocolate eggs.”
**Your turn**
Suggest funny angel and VC blog posts through Halloween (you know these are going to be ridiculous!)