Investee Company – blaxxun interactive AG (Germany)
Investee Company Business Type – Develops community and virtual worlds core software
Type of Financing – Expansion
Equity Providers – GE Equity, Kling Jelko, Konsortium AG, Venture Select
Equity Leader (Individual) – Sunil Sabharwal, GE Equity
Debt Providers – N/A
Debt Type – N/A
Debt Leader (Individual) – N/A
Equity Amount – $5 million
Total Deal Value – $5 million
Other Advisors – N/A
Comments – GE Equity announced its first significant German investment in a new economy company, with a fourth round of financing in blaxxun interactive AG. Other investors include previous round participants Kling Jelko, Konsortium AG and Venture Select.
blaxxun interactive, based in Munich, was founded in August 1995. Over the past five years the company has developed its Virtual World’s platform software to become the global technology leader in Community and Virtual Worlds basis software. The company’s 5.1 software package offers 4 product packages with various feature ranges including multimedia integration, easy access to the community business whatever the budget or business model. The software has 33 standard features providing comprehensive opportunities for communication and interaction in a blaxxun community and three customised template sets offer effective applications in the fields of Entertainment, E-Commerce or Business. blauxxen’s customers include BMW, Canal+, IBM, Intel, Lycos Bertelsmann, Siemens and Suny Telekom.
Franz Buchenberger, CEO of blaxxun interactive, said: “Sustained profitability has taken a front seat at blaxxun. Our formula for success is a cost-conscious emphasis on our core business, the production and licensing of our award-winning software. blaxxun has already seen a positive operating result in 2001 with revenues in excess of $2.7 million in the second quarter. The new capital will therefore serve mainly as a growth reserve.”