Tuesday, September 1, 2009

SKYPE SET TO CHANGE HANDS

http://seekingalpha.com/article/159381-skype-sale-confirmed

The website claims that Skype is being sold to an investor group led by Andreessen Horowitz. Also, involved in the deal making are Index Ventures and Silver Lake Partners.

The website also reports the cost of acquisition will be around $2 billion and that Silver Lake Partners will foot the majority bill. The Andreeseen Horowitz fund can make single commitments of up to $50 million.

FAQs on SKYPE:

1. Josh Silverman is currently the CEO of the company..although its unclear whether he will continue to lead the firm post acquisition.

2. Skype reported revenues of $551 million last year and expects to touch a billion dollar revenue by 2011. Earlier, eBay, the current owner of the tech firm had said it will spin Skype into a separate company for listing purpose supposedly in 2010.

3. eBay had earlier acquired Skype in 2005 for $4.1 billion, although about $1 billion of that, an earnout, was never paid.

4. Skype is now in litigation with a company controlled by Skype's founding partners -- Niklas Zennstrom and Janus Friisover -- over the key VoIP technology.

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