Demand Media is a next-generation web media company that combines domain services, brand-able domains and niche content web sites. The company says it has taken a unique approach by combining these elements to form a new media company. Demand plans to use the new capital to further increase organic and strategic growth and to rapidly seize on unique market opportunities. The company completed a $100 million second round of funding co-led by 3i and Oak Investment Partners, with participation from Spectrum Equity Investors. The securities were issued to a limited number of accredited investors in a private placement exempt from registration under the Securities Act of 1933. Demand Media is based in Santa Monica, California. Demand Media is a Santa Monica-based online publisher. It entered into a new $225M credit facility split between a $125M revolving credit facility and a $100M term loan. The new facility replaces an existing $105M revolving credit facility and includes an option to increase the amount to $250M. Lenders on the facility are Silicon Valley Bank, U.S. Bank, Fifth Third Bank, Comerica Bank, Citibank, Union Bank, OneWest Bank and Goldman Sachs Bank. Demand Media said it will use the funding to gain additional flexibility and liquidity to pursue strategic objectives, including a spin-off of its domain services businesses. Demand Media is a Los Angeles-based online media firm run by Richard Rosenblatt. PEHub reported the company has raised an additional $35M. The firm filed a regulatory filing with the SEC on March 13. A Demand Media spokesperson did not respond to inquiries seeking confirmation or details of the round. If the report is accurate, the round would bring the firm's total capital raised to over $355M. Investors in prior and current rounds include 3i Ventures, Generation Partners, Goldman Sachs, Oak Investment Partners, and Spectrum Equity Investors. Demand Media is based in Santa Monica, California, and was founded by Richard Rosenblatt, the former president of Intermix Media. According to Mashable as quoted in the article, the company buys domain names with organic traffic, adds social networking features, and owns registrars eNom and BulkRegister. The company completed a third round of funding worth $100 million from Goldman Sachs. Previous investors include 3i Group, Generation Partners, Oak Investment Partners, and Spectrum Equity Partners; Demand Media has raised a total of $320 million to date. The article does not specify how the company will use the new proceeds or provide additional operating metrics or plans. Demand Media, formed by former MySpace chairman Richard Rosenblatt, is building a portfolio of generic websites that largely lack staff‑generated content. The sites are designed to attract visitors and monetize traffic via online advertising provided by partners such as Yahoo and Google. The company is buying cheap content feeds and expects to rely in part on user‑generated contributions to populate the sites. One example cited is flashgames.com, which reportedly earns more than $150,000 a year selling online ads despite offering only links to other game sites. Demand Media has raised $120 million in financing from Spectrum Equity Partners, Oak Investment Partners and Generation Partners. According to the company website update, Demand Media is based in Los Angeles with offices in Seattle.

Total raised

$580M

Funding rounds

6

Latest round

Equity

Latest activity

Nov 2024