Comments on: What Will Happen to Lehman’s Startup Orphans? http://www.techcrunch.com/2008/10/02/what-will-happen-to-lehmans-startup-orphans/ Startup and Technology News Tue, 10 Nov 2009 13:59:20 -0800 hourly 1 By: Kontera Raises $15.5M For Annoying In-Text Advertising Technology | Family Learning Center http://www.techcrunch.com/2008/10/02/what-will-happen-to-lehmans-startup-orphans/comment-page-1/#comment-2874604 Kontera Raises $15.5M For Annoying In-Text Advertising Technology | Family Learning Center Thu, 23 Jul 2009 19:12:16 +0000 http://www.techcrunch.com/?p=22900#comment-2874604 [...] $15.5 million from its current investors Sequoia Capital, Carmel Ventures and Tenaya Capital, the former venture capital arm of Lehman Brothers. This is the second Israeli startup to announce multi-million VC rounds today after 5min informed [...] [...] $15.5 million from its current investors Sequoia Capital, Carmel Ventures and Tenaya Capital, the former venture capital arm of Lehman Brothers. This is the second Israeli startup to announce multi-million VC rounds today after 5min informed [...]

]]> By: Kontera Raises $15.5M For Annoying In-Text Advertising Technology http://www.techcrunch.com/2008/10/02/what-will-happen-to-lehmans-startup-orphans/comment-page-1/#comment-2874361 Kontera Raises $15.5M For Annoying In-Text Advertising Technology Thu, 23 Jul 2009 17:00:14 +0000 http://www.techcrunch.com/?p=22900#comment-2874361 [...] $15.5 million from its current investors Sequoia Capital, Carmel Ventures and Tenaya Capital, the former venture capital arm of Lehman Brothers. This is the second Israeli startup to announce multi-million VC rounds today after 5min informed [...] [...] $15.5 million from its current investors Sequoia Capital, Carmel Ventures and Tenaya Capital, the former venture capital arm of Lehman Brothers. This is the second Israeli startup to announce multi-million VC rounds today after 5min informed [...]

]]> By: limo party bus http://www.techcrunch.com/2008/10/02/what-will-happen-to-lehmans-startup-orphans/comment-page-1/#comment-2582712 limo party bus Fri, 02 Jan 2009 08:23:54 +0000 http://www.techcrunch.com/?p=22900#comment-2582712 its a very good post :) very information for my research about lehmann brothers and after :) its a very good post :) very information for my research about lehmann brothers and after :)

]]> By: jg http://www.techcrunch.com/2008/10/02/what-will-happen-to-lehmans-startup-orphans/comment-page-1/#comment-2495627 jg Thu, 09 Oct 2008 00:14:37 +0000 http://www.techcrunch.com/?p=22900#comment-2495627 Do you have any idea what you're talking about? Do you think the fund will be purchased at a discount and why? Do you know the valuations on these investments? Do you know the size of the remaining unfunded commitments in the latest fund? What's your "guess?" Do you have any idea what you’re talking about? Do you think the fund will be purchased at a discount and why? Do you know the valuations on these investments? Do you know the size of the remaining unfunded commitments in the latest fund? What’s your “guess?”

]]> By: What Will Happen to Lehman Brothers’ Startup Orphans? « Weblibraryjpn’s Weblog http://www.techcrunch.com/2008/10/02/what-will-happen-to-lehmans-startup-orphans/comment-page-1/#comment-2491296 What Will Happen to Lehman Brothers’ Startup Orphans? « Weblibraryjpn’s Weblog Sat, 04 Oct 2008 11:15:34 +0000 http://www.techcrunch.com/?p=22900#comment-2491296 [...] What Will Happen to Lehman’s Startup Orphans? (October 2, 2008　TechCrunch)　 As Lehman Brothers sells off its assets following its bankruptcy, there is still a big question as to what will happen to its venture arm and, more importantly, how any change in ownership will affect the companies in which Lehman Brothers Venture Partners holds a stake. Like many investment banks, Lehman got into venture investing in the mid-1990s to try to capture some of those venture returns. The investment management group that it was a part of was sold off to Bain Capital and Hellman & Friedman on Monday, but the venture arm was not part of that sale. Instead, Lehman Brothers Venture Partners is trying to spin itself off as a separate venture firm with about $800 million in assets. But if it cannot do that, it will either go to hungry creditors or a financial buyer who may be more interested in liquidating the fund than in nurturing the startups in its portfolio. Those startups include Kayak, SearchMe, Jaxtr, Endeca, and about 80 more. (A partial list from CrunchBase is below. Other than comScore, most are still private). They could wake up tomorrow and find that they have a new shareholder who is even more impatient for a quick exit than its existing ones. It’s like being an orphan and wondering who your next foster parents will be. That can really mess with a startup’s development. [...] [...] What Will Happen to Lehman’s Startup Orphans? (October 2, 2008　TechCrunch)　 As Lehman Brothers sells off its assets following its bankruptcy, there is still a big question as to what will happen to its venture arm and, more importantly, how any change in ownership will affect the companies in which Lehman Brothers Venture Partners holds a stake. Like many investment banks, Lehman got into venture investing in the mid-1990s to try to capture some of those venture returns. The investment management group that it was a part of was sold off to Bain Capital and Hellman & Friedman on Monday, but the venture arm was not part of that sale. Instead, Lehman Brothers Venture Partners is trying to spin itself off as a separate venture firm with about $800 million in assets. But if it cannot do that, it will either go to hungry creditors or a financial buyer who may be more interested in liquidating the fund than in nurturing the startups in its portfolio. Those startups include Kayak, SearchMe, Jaxtr, Endeca, and about 80 more. (A partial list from CrunchBase is below. Other than comScore, most are still private). They could wake up tomorrow and find that they have a new shareholder who is even more impatient for a quick exit than its existing ones. It’s like being an orphan and wondering who your next foster parents will be. That can really mess with a startup’s development. [...]

]]> By: Andy Halliday http://www.techcrunch.com/2008/10/02/what-will-happen-to-lehmans-startup-orphans/comment-page-1/#comment-2490658 Andy Halliday Fri, 03 Oct 2008 19:08:54 +0000 http://www.techcrunch.com/?p=22900#comment-2490658 I think the table confused NileGuide and RealTravel...I don't think RealTravel has investment from Lehman I think the table confused NileGuide and RealTravel…I don’t think RealTravel has investment from Lehman

]]> By: Canadian Personal Finance Blog » Blog Archive » Random Thoughts: Is this the End? http://www.techcrunch.com/2008/10/02/what-will-happen-to-lehmans-startup-orphans/comment-page-1/#comment-2490250 Canadian Personal Finance Blog » Blog Archive » Random Thoughts: Is this the End? Fri, 03 Oct 2008 10:22:25 +0000 http://www.techcrunch.com/?p=22900#comment-2490250 [...] Credit Crunch is going to mean less money for High Tech Start Ups as well, points out Tech [...] [...] Credit Crunch is going to mean less money for High Tech Start Ups as well, points out Tech [...]

]]> By: More Lehman Brothers Videos http://www.techcrunch.com/2008/10/02/what-will-happen-to-lehmans-startup-orphans/comment-page-1/#comment-2490186 More Lehman Brothers Videos Fri, 03 Oct 2008 07:26:30 +0000 http://www.techcrunch.com/?p=22900#comment-2490186 Do you think it would reduce the world crisis more sooner? What do you think of it? Do you think it would reduce the world crisis more sooner? What do you think of it?

]]> By: twitter fan http://www.techcrunch.com/2008/10/02/what-will-happen-to-lehmans-startup-orphans/comment-page-1/#comment-2490156 twitter fan Fri, 03 Oct 2008 06:45:44 +0000 http://www.techcrunch.com/?p=22900#comment-2490156 good job erick. liked the list and pic too :) good job erick. liked the list and pic too :)

]]> By: chris http://www.techcrunch.com/2008/10/02/what-will-happen-to-lehmans-startup-orphans/comment-page-1/#comment-2490136 chris Fri, 03 Oct 2008 06:05:51 +0000 http://www.techcrunch.com/?p=22900#comment-2490136 It seems like there is potentially a big problem: Acquisition of the Lehman Ventures portfolio as a stand-alone package triggers a valuation of the component companies. For the privately-held companies this could be a bad thing, devaluing their currently mythical stock pricing, and leaving the remaining preferred shareholders with a portfolio loss. The incentive in that scenario could be to ramp up M&A activity, try to exit with the cash pronto. I'm just guessing here.. It seems like there is potentially a big problem: Acquisition of the Lehman Ventures portfolio as a stand-alone package triggers a valuation of the component companies. For the privately-held companies this could be a bad thing, devaluing their currently mythical stock pricing, and leaving the remaining preferred shareholders with a portfolio loss. The incentive in that scenario could be to ramp up M&A activity, try to exit with the cash pronto. I’m just guessing here..

]]> By: john http://www.techcrunch.com/2008/10/02/what-will-happen-to-lehmans-startup-orphans/comment-page-1/#comment-2490134 john Fri, 03 Oct 2008 05:57:02 +0000 http://www.techcrunch.com/?p=22900#comment-2490134 Correction: looks like a good list of startups that have plenty of funding support without Lehman. not a huge problem in most of these cases. Similar to the FT Ventures rumors, this is blown a bit out of proportion. Correction: looks like a good list of startups that have plenty of funding support without Lehman. not a huge problem in most of these cases. Similar to the FT Ventures rumors, this is blown a bit out of proportion.

]]> By: john http://www.techcrunch.com/2008/10/02/what-will-happen-to-lehmans-startup-orphans/comment-page-1/#comment-2490133 john Fri, 03 Oct 2008 05:56:15 +0000 http://www.techcrunch.com/?p=22900#comment-2490133 looks like a good list of startups that have plenty of funding with Lehman. not a huge problem in most of these cases. Similar to the FT Ventures rumors, this is blown a bit out of proportion. looks like a good list of startups that have plenty of funding with Lehman. not a huge problem in most of these cases. Similar to the FT Ventures rumors, this is blown a bit out of proportion.

]]> By: TechCrunch Japanese アーカイブ » リーマン・ブラザーズが出資していたベンチャー企業は孤児になる？ http://www.techcrunch.com/2008/10/02/what-will-happen-to-lehmans-startup-orphans/comment-page-1/#comment-2490064 TechCrunch Japanese アーカイブ » リーマン・ブラザーズが出資していたベンチャー企業は孤児になる？ Fri, 03 Oct 2008 03:59:00 +0000 http://www.techcrunch.com/?p=22900#comment-2490064 [...] ［原文へ］ [...] [...] ［原文へ］ [...]

]]> By: Tony Edward http://www.techcrunch.com/2008/10/02/what-will-happen-to-lehmans-startup-orphans/comment-page-1/#comment-2490045 Tony Edward Fri, 03 Oct 2008 03:25:01 +0000 http://www.techcrunch.com/?p=22900#comment-2490045 hard times, I know few guys who got laid off from lehman earlier in the year. Startups are going to do good though.. http://gatesandjobs.blogspot.com/ hard times, I know few guys who got laid off from lehman earlier in the year. Startups are going to do good though..

http://gatesand...s.blogspot.com/

]]> By: Agree w/ Common Sense http://www.techcrunch.com/2008/10/02/what-will-happen-to-lehmans-startup-orphans/comment-page-1/#comment-2490010 Agree w/ Common Sense Fri, 03 Oct 2008 02:22:00 +0000 http://www.techcrunch.com/?p=22900#comment-2490010 Common Sense is right. Lehman is only a 20% LP for LB Venture Partners new fund ($75M of $365M - see link below). They have a good portfolio and can't imagine that someone won't buy out Lehman's LP position. Most likely impact on their portfolio cos will nothing at all. http://www.lehman.com/press/pdf_2007/091907_Venture_V_Final.pdf Common Sense is right. Lehman is only a 20% LP for LB Venture Partners new fund ($75M of $365M – see link below). They have a good portfolio and can’t imagine that someone won’t buy out Lehman’s LP position. Most likely impact on their portfolio cos will nothing at all.

http://www.lehm...ure_V_Final.pdf

]]> By: huh http://www.techcrunch.com/2008/10/02/what-will-happen-to-lehmans-startup-orphans/comment-page-1/#comment-2489964 huh Fri, 03 Oct 2008 01:02:31 +0000 http://www.techcrunch.com/?p=22900#comment-2489964 Google Images... LOL. Google Images… LOL.

]]> By: Common Sense http://www.techcrunch.com/2008/10/02/what-will-happen-to-lehmans-startup-orphans/comment-page-1/#comment-2489899 Common Sense Thu, 02 Oct 2008 23:25:05 +0000 http://www.techcrunch.com/?p=22900#comment-2489899 First, since the Lehman VC team is trying to spin out, the most likely scenario is that it replaces one of its LPs and then continues to operate. This would have about zero impact on its portfolio companies unless you think Lehman's oversight somehow mattered in their role to their startups. Maybe there would be a small distraction up front as it set up its infrastructure to operate on a standalone basis, but this is an insignificant point. But even if the Lehman fund liquidated by selling outright to another investor...why would that new investor (who would undoubtedly be a minority owner as per Lehman's VC business model) think that it could walk in the door and suddenly force anything to happen that wasn't going to happen anyway? The bottom line is that the impact to the actual companies is likely to be small other than, worst case, one less investor willing to pony up into a subsequent round. First, since the Lehman VC team is trying to spin out, the most likely scenario is that it replaces one of its LPs and then continues to operate. This would have about zero impact on its portfolio companies unless you think Lehman’s oversight somehow mattered in their role to their startups. Maybe there would be a small distraction up front as it set up its infrastructure to operate on a standalone basis, but this is an insignificant point.

But even if the Lehman fund liquidated by selling outright to another investor…why would that new investor (who would undoubtedly be a minority owner as per Lehman’s VC business model) think that it could walk in the door and suddenly force anything to happen that wasn’t going to happen anyway?

The bottom line is that the impact to the actual companies is likely to be small other than, worst case, one less investor willing to pony up into a subsequent round.

]]> By: Jesse http://www.techcrunch.com/2008/10/02/what-will-happen-to-lehmans-startup-orphans/comment-page-1/#comment-2489894 Jesse Thu, 02 Oct 2008 23:14:25 +0000 http://www.techcrunch.com/?p=22900#comment-2489894 looks as if many of these are going to be sold off as there is no funding left from Lehman, anyone wanna go in halvers? http://jwojdylo.wordpress.com looks as if many of these are going to be sold off as there is no funding left from Lehman, anyone wanna go in halvers?

http://jwojdylo.wordpress.com

]]> By: bill http://www.techcrunch.com/2008/10/02/what-will-happen-to-lehmans-startup-orphans/comment-page-1/#comment-2489868 bill Thu, 02 Oct 2008 22:37:54 +0000 http://www.techcrunch.com/?p=22900#comment-2489868 See www.twoitter.com and www.tooitter.com is for sale! See

http://www.twoitter.com and http://www.tooitter.com is for sale!

]]> By: Ian Benson http://www.techcrunch.com/2008/10/02/what-will-happen-to-lehmans-startup-orphans/comment-page-1/#comment-2489844 Ian Benson Thu, 02 Oct 2008 22:21:08 +0000 http://www.techcrunch.com/?p=22900#comment-2489844 Great post - the [not] funny part of all of this is it's going to be a yardsale and we're all going to be the ones paying for it - on both ends. Great post – the [not] funny part of all of this is it’s going to be a yardsale and we’re all going to be the ones paying for it – on both ends.

]]> By: silicon valley dropout http://www.techcrunch.com/2008/10/02/what-will-happen-to-lehmans-startup-orphans/comment-page-1/#comment-2489821 silicon valley dropout Thu, 02 Oct 2008 21:58:00 +0000 http://www.techcrunch.com/?p=22900#comment-2489821 too bad too sad lol too bad too sad lol

]]> By: Andy Gongea http://www.techcrunch.com/2008/10/02/what-will-happen-to-lehmans-startup-orphans/comment-page-1/#comment-2489815 Andy Gongea Thu, 02 Oct 2008 21:50:51 +0000 http://www.techcrunch.com/?p=22900#comment-2489815 This crisis in the financial world has been quite a tornado. So it is uncertain the future for these companies. This crisis in the financial world has been quite a tornado. So it is uncertain the future for these companies.

]]> By: aandarian http://www.techcrunch.com/2008/10/02/what-will-happen-to-lehmans-startup-orphans/comment-page-1/#comment-2489814 aandarian Thu, 02 Oct 2008 21:50:34 +0000 http://www.techcrunch.com/?p=22900#comment-2489814 thanks for the info. really good thanks for the info. really good

]]> By: Dan Weir http://www.techcrunch.com/2008/10/02/what-will-happen-to-lehmans-startup-orphans/comment-page-1/#comment-2489802 Dan Weir Thu, 02 Oct 2008 21:37:42 +0000 http://www.techcrunch.com/?p=22900#comment-2489802 Yeah, I'm an idiot. Goldman invested in Nextivity. But if Nouriel Roubini is right, this comment will apply to the story you'll be writing in a week or two ;-) Yeah, I’m an idiot. Goldman invested in Nextivity. But if Nouriel Roubini is right, this comment will apply to the story you’ll be writing in a week or two ;-)

]]> By: Dan Weir http://www.techcrunch.com/2008/10/02/what-will-happen-to-lehmans-startup-orphans/comment-page-1/#comment-2489798 Dan Weir Thu, 02 Oct 2008 21:35:40 +0000 http://www.techcrunch.com/?p=22900#comment-2489798 Here's one you left off the list. Nextivity Inc. http://www.nextivityinc.com/about_us/investors.html Their site makes them look second-tier but they're solving a big problem - crappy indoor cell reception, which is a big impediment to people dropping their landlines. Apple should seriously buy these guys if their box works as they say it will. Here’s one you left off the list. Nextivity Inc.

http://www.next.../investors.html

Their site makes them look second-tier but they’re solving a big problem – crappy indoor cell reception, which is a big impediment to people dropping their landlines. Apple should seriously buy these guys if their box works as they say it will.

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