Paid Content reported today that GameTrust sold for less than $50M, after raising $20M over 3 rounds, over the past 5 years. That does not seem like a healthy exit for the numerous VCs, which include: TWJ Capital, NJTC Venture Fund, Patriot Capital, CSK Ventures, Topspin Partners, Silicon Alley Venture Partners, Draper Associates and investor Elon Musk.
So why did this deal happen? VCs supposedly want 5x or 10x on their investments… this was probably not anything close to that, I’d guesstimate. Here’s my take: continue reading...
