Time Warner Inc. (NYSE:TWX) subsidiary AOL is reportedly in talks to buy Israeli ad content start-up Quigo Technologies Ltd. for $300 million, according to “All Things Digital” correspondent Kara Swisher, who also covers technology for the "Wall Street Journal".
Swisher quotes a source close to AOL as saying that a deal “is 80% there”.
In June, Quigo raised $30 million from Institutional Venture Partners, at a company value of $250 million as part of a planned Nasdaq IPO in 2008. Quigo senior VP Yaron Galai founded the company in 2000. The company develops technologies and products for advertising search engines and content focused ads on websites. Its products automatically generate links between relevant content and advertisers’ websites. An important advantage of the company’s platform is that it enables advertisers to select which of its ad pages it wants to be seen.
Quigo is a major missed opportunity of Israeli venture capital funds, which did not invest in the company in seed stage, which was entirely financed by private individuals. Highland Capital Partners LLC led the first financing round, joined by GlenRock Israel and Hebrew University Retirement Fund. Glenrock and Highland also participated in later rounds, together with Meritech Capital Partners, Steamboat Ventures, and Institutional Venture Partners. The company has raised $45 million to date.
Published by Globes [online], Israel business news - www.globes.co.il - on November 4, 2007
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