With Google's Buy of Zagat, Kleiner Perkins and GA Cash Out After a Decade--UPDATED
What a difference three years make. Today, Google announced it has acquired Zagat Survey. While financial terms weren't disclosed, this would be a major win for Tim and Nina Zagat, who started the company in 1979 as a list of New York restaurant reviews compiled by friends. The sale is the second time the founders have tried to offload the company. In 2008, the "Burgundy Bible" went up for sale and was seeking bids of 20X EBITDA or $200 million. Goldman Sachs was the advisor for the 2008 process. Zagat, in 2008, was producing around $5 million in cash flow. Several PE firms looked at Zagat but balked at the high price tag, I'm told.
8 September 2011•2 mins read
