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Twitter valued at $3.7b

16 Dec 2010
00:00
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Twitter has raised another $200 million in funds, valuing the micro-blogging firm at $3.7 billion.

In its fifth funding round, it raised cash from venture capital firm Kleiner Perkins Caufield & Byers and other investors, the AllThingsD blog reported Wednesday.

The company has raised about $360 million since it was founded three years ago.

The valuation is up sharply from the $1 billion valuation in its last funding round 15 months ago and illustrates the ballooning prices of emerging web properties.

Google reportedly offered $5 billion in an unsuccessful bid to buy daily deal site Groupon.

Kleiner beat out Russia’s DST Global – an investor in Facebook – to win the deal.

The GigOm blog said the VC firm, once the Valley pacesetter but more recently focused on cleantech, had once more paid a “massive premium” to get a piece of a hot start-up.

Twitter is well short of being profitable, having launched its advertising platform early this year. It has more than 175 million users and said in a blog post yesterday that it has grown from 130 to 350 staff in the past year.

It has also named two new board members: Mike McCue, CEO start-up Flipboard, and David Rosenblatt, the former chief of online ad firm DoubleClick.

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