US venture capital firm Oak Investment Partners has invested $25 million (€18 million) in Reunion.com, a US social networking website.
The site is designed to help adults find and keep in touch with their friends and family. Since its foundation in 2002, revenues have doubled every year and the site now has 28 million users – with one million more added each month. With more than 60 million searches carried out for people each month, Reunion.com has become one of the top-ranked social networking sites, competing with the likes of Bebo – another private equity-backed business – and Friendster.
The privately-owned Los Angeles-based company was founded by Jeffrey Tinsley, the former head of GreatDomains.com who remains the chief executive, and former MySpace chairman Richard Rosenblatt. It has received just $1.4 million of angle funding before Oak’s latest investment.
Tinsley said the firm would use the additional funding to accelerate organic growth and “to pursue strategic add-on acquisitions”.
Oak Investment Partners is a multi-stage venture capital firm with a total of $8.4 billion in committed funds. Its primary investment areas include communications, information technology and new media.