I managed to get a fresh load of stories regarding the Finnish startup scene yesterday. While the companies themselves have not made too much noise about these, they are valid to break to keep the system as transparent as possible. There are 3 investment deals and one acquisition offer that was did not go down.
To begin with, we have Muxlim. The world’s largest online network for Muslims. They have about 200 000 registered users at the moment. The story is that they have recently closed a round of financing from Europe, possibly UK. There is no word on the size of the round, nor who the investors are but this is what we’re hearing from the street.
Secondly, the two other funding stories going round are that XIHA has also closed or is in the talks of closing a round to finance their business further. XIHA closed a round with Chinese investors in late 2008 as they had clearly the best offer on the table.
has closed is in the talks of closing a round of financing to take their service to the next level. Ramine Darabiha, the CEO and founder of the company has told me along the autumn that it has been hard to get traction in Finland for their company in terms of investors. The current round apparently includes some foreign investors as well as some Finnish angels as well.
Last, but not least is the acquisition offer to Eat.fi that did not go down like the lunch specials they offer on their site. Apparently one of the Finnish media companies were in the talks with Eat.fi founders to acquire the company. The deal did not fall through on the terms and more specifically the price.
Eat.fi was valued at 200 000 euros by the media company as that was the price they were willing to invest themselves into building a similar service. The price the media company was willing to pay for Eat.fi was too low to make the deal acceptable for both parties. The talk is that the sum for at least part of the company was in the few hundreds of thousands of euros. The reasoning for this was that this is the amount of money they’d be willing to invest themselves. I’m sure they could build the technology with it, but the community is something you can’t buy with money.
While there is no official statement about these out there, they did happen. We’re hearing these from trusted sources so we don’t have any reason to not believe them.
Image by CrystalJingsr (Creative Commons)
Update: I did a few corrections to the story. Ramine Darabiha contaced us to correct that they haven’t closed the deal just yet. Also, the Eat.fi valuation part might be incorrect as it was not disclosed how large chunk of the company the talks were about.