Newswire Top Stories

Credit reference and analytics company Experian, of Costa Mesa, Calif., has acquired internet marketing intelligence firm Hitwise, of New York, for about $240 million in cash.

Hitwise collects information about traffic to Web sites, getting it directly from internet service providers, and has done a good job marketing the information (they’re constantly sending us comparisons between Web 2.0 companies, for example, to help VentureBeat with reporting). It says it covers the surfing patterns of about 25 million people in the US, UK, Australia and the Asia Pacific.

Data has become more important, as advertisers and others seek more information about which sites they want to support and which ones have influence.

Hitwise reportedly raised less than $20 million since its founding in 1998. Insight Venture Partners was an investor, and told Dow Jones it owned about one-quarter of Hitwise, suggesting this was a great return. Sydney-based venture capital firm Allen & Buckeridge invested in a seed round.

Google is one of more than a thousand customers of the company.

More here from Tim O’Reilly about this, who talks about the significance of data.

Experian buys marketing intelligence firm Hitwise

SurgRx, a Redwood City, Calif. maker of technology that uses heat and electric current to seal human tissue for medical purposes, has raised $20 million in fifth round of financing, VentureWire is reporting (sub required).

Hedge fund Magnetar Capital led the round, which included backers Alta Partners, Prospect Venture Partners, New Enterprise Associates and California Technology Ventures, the report said, citing Ed Unkart, the company’s chief financial officer.

The technology is used as part of a “jaw” device that helps seal vessels ranging in diameter from less than 1 mm to 7 mm, during laparoscopic and open surgery.

There’s a YouTube video (caution: somewhat bloody) demonstrating the technology below:

SurgRx is going up against big players such as Johnson & Johnson Inc. and Tyco International Ltd, in market that includes things like gynecologic, transplant and general surgical procedures — measured by some to be worth more $4 billion.

SurgRx previously raised about $43 million.

SurgRx, a company that seals human tissue, raises $20M (video)

Hayward, Calif.’s Metabolex, a biotech company developing treatments for diabetes and related metabolic disorders, said it has raised $32 million in a fourth round of financing.

It was led by MPM BioEquities. New investors AllianceBernstein, Deerfield Management and T. Rowe Price also participated in the round, joined by existing investors Alta Partners, Bay City Capital, Biotech Turnaround Fund, Birchmere Ventures, Johnson & Johnson Development Corporation, KBC Funds, Lombard Odier Darier Hentsch, Pictet Funds (LUX) – Biotecho, Merlin Biomed, Novo Ventures, VantagePoint Ventures, Venrock Partners and Versant Ventures.

The company has raised about $200 million over the years.

From the release (here):

The company plans to use the additional funds to accelerate the clinical testing of MBX-8025 and the development of several promising preclinical programs. MBX-8025 may represent a novel approach to treating dyslipidemia; a Phase 1 study demonstrated MBX-8025 could reduce lipid parameters, such as low-density lipoprotein (LDL, or “bad” cholesterol) and triglycerides. The company’s lead insulin sensitizer, MBX-102, is now in a 400-patient Phase 2/3 study in patients with type 2 diabetes who use insulin. Metabolex entered into a strategic alliance with Ortho-McNeil, Inc. in 2006, giving Ortho-McNeil an exclusive license for worldwide development and commercialization of MBX-102 and MBX-2044, a follow-on insulin sensitizer. Metabolex is conducting the Phase 2/3 trial of MBX-102 and a Phase 2a trial of MBX-2044.

Both MBX-102 and MBX-2044 may lower blood glucose by improving insulin resistance, an underlying cause of type 2 diabetes. Metabolex’s compounds activate genes that are linked to insulin sensitization without modulating genes associated with weight gain and edema, as is seen in currently marketed insulin sensitizers from the thiazolidinedione (TZD) class. Clinical research to date suggests the difference in gene expression may offer the efficacy advantages of TZDs with an improved safety profile.
In addition, preclinical work has shown that MBX-102 may have potent anti-inflammatory activity. Inflammation has been linked to the development of insulin resistance and type 2 diabetes, suggesting an additional mechanism by which Metabolex’s drugs may control the disease process in diabetes.

Metabolex raises $32 million for metabolic disease treatment

Newswire Venture Capital

Reliant Technologies, a Mountain View, Calif. company that makes aesthetic laser medicine and surgery products, said it has raised $15 million in a fifth round of funding led by Delphi Ventures, Three Arch Partners and Meritech Capital Partners and others.

See statement here.

Reliant Technologies raises $15M for aesthetic laser and surgery products

Solmetric, a manufacturer of solar test and measurement equipment, has raised $250,000 in a round of angel financing, VentureWire reports today (sub required).

The company, based in Bolinas, Calif., just north of San Francisco, was founded by Willard MacDonald, a former senior design engineer at Agilent Technologies, in late 2005. It aims to make the installation process more efficient.

From the piece:

The company sells its sensing and light metering product for around $1355, MacDonald said. Currently, the company has approximately 200 customers, mainly in California, he said, but MacDonald expects that number to increase. There are roughly 2,000 solar installers in the U.S., he said, and all of them are potential customers.

The company’s Web site says MacDonald holds 7 patents for new technologies in the test and measurement field.

Solmetric, solar test and measurement company, raises $250,000

Pandora Networks, an Emeryville, Calif. provider of a service that unifies wired, wireless, email and other communications in a single networked service for businesses, has raised $6 million in financing.

D.E. Shaw Group. was the investor.

See the announcement here.

With the funding, Pandora has now raised $8 million since 2004.

Pandora Networks raises $6M for integrated communications network for businesses

Newswire M&A

Zazzle, a Redwood City, Calif. company that gives users a way to personalize products like apparel, posters, U.S. Postage and greeting cards online, and then sell them, has acquired Confego for an undisclosed amount.

Confego, based in Berkeley, Calif., lets big companies like Reebok customize apparel, bags and footwear from the ground up using Confego’s software. In a statement, the companies said Confego has “perfected” the manufacturing and fulfillment process, allowing delivery of custom shoes in just one week, as opposed to the three to five week lead time currently provided from similar vendors.

Zazzle has raised $16 million from Kleiner Perkins Caufield & Byers and Ram Shriram’s Sherpalo Ventures.

Here is the statement.

Zazzle acquires Confego, a software that allows companies to customize products

Roundup: Google’s StumbleUpon clone, Froogle gone, Google phone, more

Here's the latest action:

googlefireworks.jpgGoogle's fireworks -- This has been an impressive week for Google, and it shows in the 4 percent-plus jump in Google's stock price earlier this morning (though it has tapered in the past hour). The main driver was its stellar earnings report. But here are the side-shows:

Video: It announced a video-conferencing product acquisition this morning (see our story).

StumbleUpon lookalike: Google also released a tool that looks a lot of like StumbleUpon, the site that delivers Web sites for you based on what you've told it you find interesting. ... » Continue reading

Google acquires Web-conferencing company, Marratech

googlemarratech.jpgGoogle has bought online video-conferencing software company, Marratech, the latest in a barrage of software application announcements by the online giant.

Google announced the acquisition on its blog, saying the Sweden-based Marratech will be great for Google's own workplace because Googlers "thrive on casual interactions and spontaneous collaboration."

Video-conferencing is a logical next move for Google, given its dive into online video recently with the acquisition of YouTube. It's just the latest front in its battle against Microsoft, which has its own web conferencing software Live Meeting. Cisco, meanwhile, just acquired another major ... » Continue reading

Powerbeam, the wireless electricity start-up

powerbeamlogo.jpgPowerbeam, a new Silicon Valley start-up, is working on a revolutionary idea: Using a laser to beam light, the energy of which would be used to power your laptop or other device without having to plug it in.

PowerBeam says its powerful laser can transmit more electrical power than other methods, and it comes with a safety feature. Dean Takahashi of the Merc has seen the product demonstrated, and he's duly enthusiastic.

As Dean describes it, here's how it would work for regular people: You'd sit in a room with your laptop, and a laser ... » Continue reading

“Generic” biologics: Another biotech battle begins

100px-erythropoietin.jpgA second legislative fight for the biotech industry is shaping up in Washington over whether to give the Food and Drug Administration authority to approve “generic” versions of biotechnology drugs whose patents have expired.

Measures that would grant FDA that authority, introduced separately in the House and Senate, are billed as a natural cost-saving measure by supporters. They note the high cost of many biotech drugs and the fact that several best-sellers are expected to go off-patent over the next few years. To biotech’s biggest companies and their lobbyists, however, the effort could ... » Continue reading

The RSS dilemma

rss.jpgPeople subscribing to the RSS feeds of VentureBeat or other blogs are no more likely to click back to the original site if they are reading "partial" feeds than if they are reading "full" feeds.

This is the latest finding by Feedburner, a distributor of ads within RSS feeds (see the blog post by Rick Klau, Feedburner's VP of Publishing Services). And it has sparked quite a debate, over at John Battelle's blog.

The finding is significant because it contradicts the widely held assumption held by publishers. If publishers offer a partial feed ... » Continue reading

Tesla weighed down with “several hundred” pounds

teslaroadster.jpgTesla Motors, the Silicon Valley maker of the all-electric roadster due out this year, said the vehicle won't be able to travel as far as previously thought without a recharge.

The Tesla will now have a range "greater than 200 miles," less than the 250 originally promised -- because of design changes made to fulfill safety regulations and for other reasons. From a new transmission to new stereo subwoofer, the alterations have added "several hundred pounds" to the car's weight, the company said in a letter to people who had put down a deposit for ... » Continue reading

Roundup: FunnyOrDie, StumbleUpon sale?, Google’s latest and more

Latest action:

funnyordie.jpgVC firm Sequoia Capital backs Will Ferrell and Adam McKay comedy video site -- Called FunnyOrDie.com, the site features a two-minute clip that won a reported 1.5 million page views in less than a week.

StumbleUpon to be acquired? -- Several folks (Techcrunch/GigaOm) are reporting that San Francisco social Web site StumbleUpon is in talks to being acquired by AOL, Google or eBay, for a rumored $40 million to $75 million. That's not very high for a supposed "top 25" Web 2.0 company, but a good return considering it raised ... » Continue reading

Could Vostu become the Facebook of Latin America?

vostulogo.jpgEvery day brings us a new social network for a new random niche. Got a dog? Join Dogster. A big family? Here’s Famster. The concept of starting a social network with dreams of dramatic reach has been laughable for a while.

Now we have Vostu, a two-month-old Spanish-language social networking service aimed at teenagers in the Latin world. Though it’s extremely early in the game (they have 1500 users), they have a promising team, a distinctive Latin flair, and a Facebook-style grass-roots marketing scheme -– and hope to take Central and South America ... » Continue reading

Patent fight: Tech vs. pharma, round one

US PTO sealA long-awaited struggle over patent reform appears to be upon us, the Washington Post reports today (hat tip to the WSJ’s Health Blog). It pits the tech industry against pharmaceutical/biotech companies over intellectual property protections that, depending on where you stand, are either largely a nuisance or an industry’s lifeblood.

Both the House and Senate are expected to introduce bills today that reflect the tech industry’s long-standing desire to weaken the protection patents offer their holders -- over, of course, the vehement objections of pharma/biotech. The main issue separating the ... » Continue reading

Tech CEOs get bigger salaries

moneymoney.jpgChief executive officers at U.S. venture-backed technology companies are earning nearly $30,000 more per year in total compensation than they did a year ago.

CEOs in Silicon Valley and the Northeast enjoy the best deals overall.

The data, compiled by Dow Jones, shows that technology CEOs are earning a median $289,000 this year, up from $260,000 last year. See table below, which also shows how much vice presidents and directors are making.

Total compensation, which includes salary and bonuses, for CEOs of venture-backed healthcare companies also climbed to a median $300,000, from $284,000 a year ago. Total ... » Continue reading

Browse Archive

Patricia Cloherty, Delta Private Equity Partners, Forbes Profile

Patricia Cloherty at VentureBeat Rate this dealmaker & see more of their investments

Looking at the rain outside my posh Sand Hill office, my co-founder Jay Bhatti and I wondered how we could assemble the right team to build the company we had envisioned. Every entrepreneur confronts this challenge. The vision, in my opinion, is the easy part. Getting it done is a lot harder. My experience in […]

(Editor’s note: We asked Ryan Floyd, venture capitalist with Storm Ventures, what the traits are of the most successful entrepreneurs he’s backed. Here is his response.)
I am not sure there is a stereotypical entrepreneur right out of central casting.
The following are some common characteristics of the entrepreneurs that we have funded and will fund […]

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