RealTime IT News

Deja.com Seals Financing Round

News aggregator turned e-commerce and discussion portal Deja.com Inc. Tuesday secured $12.5 million in capital from existing investors.

Austin Ventures, Chase H&Q, Comcast, GE Capital, Internet Capital Group , Prime New Media Ventures and ZDNet all participated in the latest round.

Formerly called Deja News, the firm originally featured archived postings to Usenet discussion groups. As Deja.com, the venture has evolved into a buyer's portal that helps consumers decide what products to buy and where to buy them.

Deja.com also modified its existing ratings and reviews services to features product specifications, professional product reviews from industry-leading content providers, and proprietary, state-of-the-art technologies, such as search and comparison tools and a precise and informative price and availability comparison tool.

The company's Usenet discussion service provides fast access to approximately 35,000 Usenet and proprietary discussion forums. The company also operates Deja Business Solutions, which licenses Deja's proprietary content and technologies to businesses.

The investment comes a little more than two weeks since the company canceled its plans to go public, citing adverse market conditions. In truth, the firm also acknowledged that changing its business model was another factor in ditching the IPO.

Richard Gorelick, the company's chief strategy officer, said the Securities and Exchange Commission sent Deja.com a letter telling the company its notice of intent to go public had been on file too long, and that it would have to be withdrawn. Gorelick also said the firm's decision to go public was premature because of the fine tuning that was taking place a year ago.