SEATTLE, July 18 /PRNewswire/ -- Online real estate broker Redfin
Corporation today announced a $12 million series C financing led by Draper
Fisher Jurvetson. Madrona Venture Group, Vulcan Capital, BEV Capital and
The Hillman Company, investors in previous financings, also participated in
this round. Redfin has raised $20.8 million to date. In conjunction with
the funding, Redfin launched its online real estate service in the
Washington, D.C. and Baltimore areas.
Redfin will use the proceeds to continue national expansion, with plans
to open in Chicago this year, and to further the company's investment in
its market-leading website for buying and selling homes.
Since Redfin's last round of financing in May 2006, the company has
completed more than $350 million in real estate transactions, saved its
home-buying customers nearly $6 million in commissions, increased revenues
by more than 2,000 percent, expanded into four new markets, and been
featured on "60 Minutes."
As part of the funding, DFJ partner Emily Melton will join Redfin's
board as a director. Melton brings to the board experience opening new
markets for another Seattle-based consumer start-up, InSpa.
"More than ever, the Web provides a deep understanding of a home and
its neighborhood, which has empowered consumers to take charge of the
home-buying and -selling process," said Melton, who has been monitoring
Redfin's progress since early 2006. "As one of the only companies actually
brokering transactions online, Redfin is driving this trend to its logical
conclusion, delivering the most value to the consumer, and the most
profound change within the real estate industry. With more than $60 billion
in annual commissions at stake, the opportunity is enormous."
"We expect this to be our last round of venture financing, so we looked
for a guide on the long journey ahead who could help us generate profits
and lead our market," said Redfin CEO Glenn Kelman. "DFJ's commitment to a
consumer-centered business, its connections to Silicon Valley's most
advanced technologies, and its appetite for huge, competitive markets made
us natural partners. We're especially delighted to have Emily on board."
About Draper Fisher Jurvetson
Draper Fisher Jurvetson is the leading venture capital firm with global
presence through a network of affiliated funds, with offices in more than
30 cities around the world and more than $5 billion in capital commitments.
DFJ's mission is to identify, serve and provide capital for extraordinary
entrepreneurs anywhere who are determined to change the world. Over the
past twenty years, DFJ has been proud to back approximately 500 companies
across many sectors including such industry changing catalysts as Hotmail
(acquired by MSFT), Baidu (BIDU), Skype (acquired by EBAY), United Online
(UNTD), Overture (acquired by YHOO), Interwoven (IWOV), 411 (acquired by
YHOO), Parametric (PMTC), and Digidesign (acquired by AVID).
About Madrona Venture Group
Madrona Venture Group is a top-tier venture capital firm that brings
together the vision, resources, experience, teams and strategic
relationships to build the next generation of leading technology companies
in the Pacific Northwest. Since 1995, Madrona has repeatedly demonstrated
an ability to partner with high-quality management teams to create value
together. Madrona's veteran team focuses on early-stage investing in
Internet, software, wireless and research commercialization. Portfolio
companies leverage Madrona's expansive network of relationships with
technology thought leaders, established and emerging companies, channel
partners, financial institutions and universities. Madrona Venture Group
manages over $400 million and has invested in great companies such as
Amazon.com, Isilon Systems, Classmates.com and iConclude. For more
information, visit http://www.madrona.com.
About Vulcan Capital
Vulcan Capital is the private investment group of Vulcan Inc., the
organization founded by Paul G. Allen in 1986 to manage his personal and
professional endeavors. Vulcan Capital oversees a multibillion-dollar
portfolio across diverse industry sectors and investment asset classes.
Investments range from early stage venture investments to public entity
value investing, leveraged buyouts, acquisitions, and distressed
situations. Vulcan Capital's mission is to produce superior returns over
the long-term across a diversified investment portfolio. Visit Vulcan
Capital online at capital.vulcan.com.
About BEV Capital
BEV Capital is a specialized venture capital fund focused on
consumer-oriented businesses. The core of their business is investing in
consumer companies. This includes retailers, Internet businesses, consumer
products, consumer services, media, and restaurants. BEV Capital also
invests in supporting technologies for consumer companies such as marketing
software and services, Internet technologies, retail IT, information
services, and analytics. BEV operates on the premise that superior
marketing and sales effectiveness are critical to building a successful
long term business. BEV works closely with its portfolio companies to
develop the right sales and marketing strategies to maximize long term
Redfin (http://www.redfin.com) is the real estate industry's first
online brokerage, currently available in Greater Boston; the San Francisco
Bay Area; Greater Seattle; Southern California, including Los Angeles,
Orange County, the Inland Empire and San Diego; and the Washington, D.C
area. By combining maps, listings, tax records and analytics, Redfin has
become one of the most popular brokerage sites. Customers who use
Redfin.com to buy or sell properties earn a refund of most of the
commission traditionally due their broker, and get full support in
paperwork, offer presentation, negotiations and closing. Redfin has one of
the highest customer satisfaction rates in the industry, and is the only
brokerage with a 100-percent-customer-satisfaction guarantee. To give the
Redfin service a try, visit http://www.redfin.com; to keep track of our
daring exploits via our blog, go to blog.redfin.com.
SOURCE Redfin Corporation