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We're in the Star Ledger!

 Postling mentioned in the Star Ledger newspaper today, which means something to you if you grew up in NJ like I did…

The math on MySpace’s $20 million acquisition of iLike is depressing. From TechCrunch:

The company has raised a total of $16.5 million from the founders, Scott Banister, Bob Pittman, Vinod Khosla and Ticketmaster to date. But their last round of funding was in 2006, where Ticketmaster put the bulk of the capital in via a third round of financing that valued the company at a whopping $53.2 million.

Yesterday’s acquisition must be very disappointing for iLike and their investors. Take a look at those numbers. You have A-list investors like Vinod Khosla, who presumably have a thorough grasp on the business and the potential for the business, getting not much more than a 1X return? Nevermind their valuation dropping from $53.2 to $20 million – you might remember how back in 2006 everyone thought the world would never be same now that Facebook had an application platform. 

After paying back investors with interest plus lawyer fees, how much is left for the iLike team? Doesn’t seem like much at all. Considering this was the #1 Facebook App, this would seem to me like a disappointing conclusion for iLike and their investors.

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(and giving away my first 3 slides).

Photo credit Katrina Hayday Wester