Receives $200 Million Investment At $1 Billion Valuation

June 9th, 2011 at 1:26 pm

It seems that Web companies are now getting some much needed attention from investors. They seem to suddenly be looked upon as attractive investment opportunities. Other companies are mulling filing for an IPO while others seem to get some much needed investments without as so much breaking a sweat. One recent example is online coupons site, which announced of getting an investment boost of $200 million from institutional investors. is currently the largest provider of online coupons. With other similar sites like also getting some much needed industry mileage, not to mention astounding growth, it seems that the digital coupons market recently falls right into the radar for most investors, along with social networks. People may be slowly going to online coupons to save and get deals this time rather than collect those same coupons the old fashioned way- from newspapers and printed media.

According to, the sizeable investment came from a number of investors, which included several mutual funds. But the company declined to disclose who the investors were. It also added that the investment amount came from the company being valued at around $1 billion. That’s quite a valuation for a Web company, but it seems that is how more and more of them are being treated right now. It won’t be long before this company might also be going the way of the IPO, striking while it is still hot.

Businesswise, the valuation may make some sense. is expecting $100 million in revenues for 2011. That’s double than the revenues  it made from the previous year. In November of last year, the company reported that it has surpassed $1 billion in printed coupon savings, considered a milestone not only for the company but also for the whole digital coupon industry. This amounts to a 57 percent increase from the previous year’s $534 million in coupon savings. Compare this to just an 11 percent growth rate of newspaper coupons during the same period, it may tell a lot on how people may now be gearing towards preference for digital coupons.

The recent investment infusion will be used for international expansion and to complete essential acquisitions. As more and more brands and retailers join in, will be expecting nothing but further growth. It may also be giving other coupon sites like Groupon and LivingSocial a run for their money in the burgeoning online coupons industry.


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