TMCnet News
NewsStand Secures $7.2 Million in Funding; Additional Funds to Accelerate Global Sales and Marketing Initiatives AUSTIN, Texas --(Business Wire)-- June 22, 2004 -- Newsstand Inc. has secured $7.2 million in a round of funding led by Adams Capital that includes Noro-Moseley Partners, SSM Ventures, The New York Times Company and others.This new investment of capital will allow NewsStand to continue making great strides and maintain a leading position in digital distribution for publications worldwide. Over the last 14 months, NewsStand's management team has significantly increased the number of magazine and newspaper titles it offers -- now totaling 175 publications with readers in 120 countries -- the number of subscribers for those titles, and the number of strategic relationships in major distribution channels. In addition, NewsStand has just introduced a significant enhancement to its digital distribution service, the iBrowse (TM) Web-based reader. "NewsStand will use proceeds from the new round of funding to expand marketing and sales initiatives that will increase its market penetration worldwide and will continue to perfect its digital reading experience through Web and print integration," commented Kit Webster, president and chief executive officer of NewsStand. "During the last year, the team at NewsStand has secured its position as the global leader in digital solutions for newspapers and magazines," said Martin Neath, general partner at Adams Capital Management. "With this funding, we are excited about accelerating sales and marketing to further broaden the distribution and strategic partnering activities on a global basis." "We are pleased to see the value of electronic distribution recognized by both the publishing industry and consumers," commented Scott Heekin-Canedy, president and general manager of The New York Times, an early investor in NewsStand. "For the industry, digital editions have extended the reach of print publications, created new product features and reduced costs. And consumers enjoy their favorite publications, including The New York Times, in even more places around the world on a timely basis." About NewsStand Inc. NewsStand Inc. is the leading digital partner for premier publishers of newspapers, magazines and other print media and is included in the eContent magazine list of Top 100 Companies for 2003. NewsStand's digital delivery solution makes it possible for subscribers to download via the Internet an entire publication in traditional print format that can be read offline or online on their computer. NewsStand not only offers an entirely new reading experience for the global community, but also creates innovative marketing opportunities for both publishers and advertisers. Currently, the company has over 175 titles under contract and delivers digital copies to readers in more than 120 countries. NewsStand is a privately held company headquartered in Austin, Texas, with offices in Australia, Germany, Japan, New York City and the United Kingdom. Investors include Adams Capital Management, Noro-Moseley Partners, SSM Ventures and The New York Times Company. For more information on NewsStand, visit www.newsstand.com. About Adams Capital Adams Capital Management Inc. is a national venture capital firm specializing in early-stage applied technology investments in the information technology, semiconductor and telecommunications markets. Adams Capital invests in companies with compelling market opportunities and the ability to exploit discontinuities created by changes in industry standards, regulations, technology convergence and distribution channels. The firm is based in Pittsburgh, with offices in Austin, Boston, and Palo Alto. ACM currently manages $700 million in private equity capital through three limited partnerships. About Noro-Moseley Founded in 1983, Atlanta-based Noro-Moseley Partners ("NMP") is one of the largest and most experienced venture capital firms in the southeastern United States. Since its inception, NMP has created five limited partnership funds totaling approximately $580 million in capital and has invested in over 140 countries. NMP invests primarily in Southeastern-based, early and established growth state companies. Industries of interest include technology, healthcare and business services. About The New York Times Company The New York Times Company (NYSE:NYT), a leading media company with 2003 revenues of $3.2 billion, includes The New York Times, the International Herald Tribune, The Boston Globe, 16 other newspapers, eight network-affiliated television stations, two New York City radio stations and more than 40 Web sites, including NYTimes.com and Boston.com. For the fourth consecutive year, the Company was ranked No. 1 in the publishing industry in Fortune's 2004 list of America's Most Admired Companies. The Company's core purpose is to enhance society by creating, collecting and distributing high-quality news, information and entertainment. |
