Today our partner Michael (Max) Maxworthy was quoted in a disucssion on Huffington Post’s capital raise of $25M by David Shabelman for The Deal.com.
Times are tough for traditional newspapers, with increasing numbers of people choosing to get information online in real time rather than read yesterday’s news. Among the chief beneficiaries in the media industry are online companies such as HuffingtonPost.com Inc., which said Monday, Dec. 1, the company has raised $25 million in Series C funding from Oak Investment Partners.
In addition to political commentary, Huffington Post provides news on business, the media and entertainment, with separate channels for lifestyle news, style and “green” issues. According to a statement, the company will use the new funding to build out its technology infrastructure, expand its content offerings and increase advertising. Its expansion plans could include more localized sites akin to the recently launched HuffPost Chicago, its first channel devoted to politics in Chicago. Huffington Post also plans to make some “select and focused acquisitions.”
Michael Maxworthy, partner with New York-based Marlin & Associates, a boutique investment bank for the digital information sector, said companies like Huffington and paidContent that are proven leaders in their field will continue to receive interest from investors or potential acquirers.