Early Facebook investors and executives are feeling flush. So where are they putting their cash?Straight back into Silicon Valley—specifically, into the question-and-answer startup Quora, which was founded by Facebook’s former CTO, Adam D’Angelo, and Charlie Cheever, a key engineer.
The Wall Street Journal reported that Quora has raised $50 million at a $400 million valuation.
News that Quora was raising a round at that valuation broke last month.
Peter Thiel, a Facebook board member who was the company’s first outside investor, is leading the round. (Thiel runs a private-equity fund, Clarium Capital Management, but he’s reportedly using his own funds.) Other investors include Northbridge Venture Partners, where former Facebook executive Jonathan Heiliger is a partner.
Quora became notorious in the Valley when it raised an early round at an $86 million valuation from Benchmark Capital. The investor on that deal? Former Facebook executive Matt Cohler. (Benchmark also invested in this round.)
If the Facebook mafia has $50 million to splash around now—when the only exits available to date have been the sometimes dicey secondary markets—imagine how much cash they can splash on their friends’ startups after Facebook goes public.