LivingSocial’s early investors and founders have pocketed $200 million of its recent $400 million round, Dan Primack of Fortune reports, citing a SEC filing.The filing doesn’t specify who exactly cashed in on this round.
This is becoming pretty common in startup land for hot companies raising big rounds. When Groupon raised $500 million, founders and early investors took $345 million off the table. Groupon did the same thing when it raised its big from DST round.
At the time, Groupon CEO Andrew Mason said he sold stock to DST to “solve the money problem.”