Music social network Imeem is laying off 25% of its employees, and, according to PaidContent, it’s hired investment banker Montgomery and Co. to put itself up for sale. The company says that the cuts are coming from across its 80-person staff, but it wouldn’t comment on the rumours about the investment bank.
The company said that given the economic climate, it cut costs to help insure its long-term survival.
Imeem allows on-demand streaming and has 30 million registered users and 100 million users from its various social network applications. PaidContent reports that the company’s last round was raised at a $200 million valuation, but under current economic conditions — unless the company has a massive revenue stream we don’t know about — we imagine that it would be hard to sell at that price.
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