While most of Wall Street was focused on deal talks between Charles Schwab and TD Ameritrade this week, another financial services deal caught my eye.
Honey, which makes a browser extension that surfaces coupons while you shop online, sold to PayPal for $4 billion in cash. As Melia Russell reported, the acquisition gives new meaning to the term “sweet deal.”
Honey faced rejection from VCs for two years before raising a seed round of $1.8 million in 2014 from Mucker Capital, Bam Ventures, Ludlow Ventures, SXE Ventures, and an angel investor.
Richard Jun, a cofounder and managing director of Bam Ventures, told Melia Bam put $150,000 into Honey’s seed round. Its investment is worth 300 times that after the acquisition, which comes out to $45 million.
The deal is emblematic of an evolution in the payments space, where more companies are looking to move beyond just moving money.
An Andreessen Horowitz general partner told Shannen Balogh for example that Uber and Apple are just the start, and eventually every company will want to be a fintech. Citi Ventures meanwhile is betting on cars that pay their own bills, and its co-head of investing envisions a future where your devices make payments without you.
Inside McDonald’s CEO change
McDonald’s CEO Steve Easterbrook’s termination as CEO earlier this month following a relationship with a female coworker sent shock waves through the massive fast-food chain, according to Kate Taylor.
This week she published three stories on the CEO change focused on the immediate aftermath of Easterbrook’s exit, and new CEO Chris Kempczinski’s efforts to win over employees and franchisees since. Check them out:
What’s next for WeWork
WeWork this week laid off 2,400 employees, and Meghan Morris got the inside track on the all-staff meeting that followed.
Some WeWork employees believe working for the company has hurt their careers, Julie Bort reported. Meanwhile, WeWork’s competitors say they’re ready to hire hundreds next year as they expand.
In related news:
It’s not just WeWork that’s seen layoffs as we head towards the end of the year.
What have we missed? Let me know!
We’re hosting an event focused on smart cities in Washington, DC on Tuesday, December 10. The event will explore the impact of various technologies transforming cities, mobility, digital equity, the evolving regulatory and policy environment — and the investment opportunities these innovations create.
Speakers include Lindsey Parker, chief technology officer for the City of Washington, DC, and Michael Sherwood, the director for innovation and technology for the City of Las Vegas.
Finance and Investing
For the dozens of job seekers gathered in the 10th floor of a building near Times Square, a text message from a friend that one panelist read aloud didn’t exactly inspire confidence.
Coworking and flex-office space hit the big time this year, thanks to a mix of hype and front-page controversy.
Tech, Media, Telecoms
Garages have a special place in Silicon Valley lore.
Gaming, media, and tech companies are vying to corner pieces of the burgeoning sports betting market in the US, 18 months after the Supreme Court lifted a federal ban on sports wagering in the country.
Healthcare, Retail, Transportation
Meet the top people shaping healthcare politics and policy in Washington.
Mars’ CEO believes the global supply chain is “broken” — and that it is companies’ responsibility to fix it.