Big news this morning after a big week of Google Cloud Dev, Real Estate & Chrome OS news. Groupon, the group buying and crowdsourced discount service, has reportedly turned down a Google acquisition offer valued at $6 Billion ($5.3 billion w/ $700 million earnout). Groupon, which is said to bring in annual revenues of $2 billion, must have some big things planned after turning down the $6 billion – or did they just use the Google offer to set the grounds for future valuation?
With $2 billion annual coming in, and expected GROWTH, the possibilities could include an IPO, expansion and spin offs, or maybe a future MUCH LARGER acquisition by Google, Microsoft or possibly even Facebook.
[via Ben Parr]
Loren Baker
Loren Baker is the Founder of SEJ, an Advisor at Alpha Brand Media and also spends time w/ CopyBlogger.
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Hmm… im just guessing unless they sell it to Facebook or Bing quickly they might find their competitors build their own platform as has happened in the past. It’s a crazy amount of money to turn down….
I couldn’t agree with you anymore David! I think that’s already happening now! Look at site(s) like LivingSocial. Not to mention; I had posted the other day on Twitter about similar site(s) like Groupon; after being turn down for their affiliate offer. Then two weeks ago good friend of mine ask me to promote to my subscribers a site called Cinnabid that just launch this month. They better make something happen fast, but then again they generate over 50 mil a month from what I read.
Sounds like Groupon has something cooking in the OVEN….! But, the more I think about it….the more I think they are just setting the Stage 4 bigger offers.
I agree! Sounds like they have some big plans! I’m sure they’re only growing…maybe they have a personal deal with Google owning the majority of the Internet, basically (kidding, of course).
I agree! Sounds like they have some big plans! I’m sure they’re only growing…maybe they have a personal deal with Google owning the majority of the Internet, basically (kidding, of course).
I know of a direct sales powerhouse that is on the verge of commissioning a groupons business model. I think it will spread virally at a faster pace.