RealTime IT News

Bizbuyer.com Raises $38.5 Million in Venture Capital

Business-to-business marketplace BizBuyer.com said it has raised $38.5 million in third-round financing.

Lead investors in this round include TMCT Ventures, a recently formed venture fund by Times Mirror and Chandler Trust; previous investor @Ventures, the venture capital affiliate of Internet holding company CMGI Inc.; and Redpoint Ventures, a technology-focused venture capital firm formed by Brentwood Venture Capital and Institutional Venture Partners.

Additional investors include eCompanies Venture Group, Morgan Stanley Dean Witter Ventures and US Venture Partners.

Since January 1999, BizBuyer.com has raised a total of $44.5 million that includes a previous $5 million investment from @Ventures and a $1 million angel round that included eBay's Meg Whitman.

TMCT Ventures partner and Times Mirror executive vice president and CFO Tom Unterman was named to BizBuyer's board of directors.

"BizBuyer.com has done an outstanding job of maintaining its first-to-market advantage in the small to mid-size business arena," said Unterman. "I look forward to playing an integral role in the rapid development of their core business strategy of building a global marketplace for small and mid-size businesses."

"This new financing validates the strength of our business model and gives us the freedom to execute on our vision of revolutionizing the way small and mid-size businesses do business," said Bernard Louvat, president, founder and CEO of BizBuyer.com.

Since the launch of the site, the company has grown to 53 product and service categories with over 15,000 vendors bidding on the purchasing needs of small and mid-size businesses. Strategic partnerships include Qwest Communications, PSINet, UUNET and PageMart Wireless.