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Pivotal Buys Xtreme Labs for $65M in Cash

61 pointsby cpymchnover 11 years ago

6 comments

chamakitsover 11 years ago
As a bit offtopic, I&#x27;ve never &quot;heard&quot; of Pivotal directly regarding the kind of work that they do. But I recently started using Jasmine, and decided to look into who is behind it, and I see Pivotal.<p>I think, &quot;Oh cool. Let&#x27;s see what else they do.&quot;, and man, they fund so many open source projects that are considered &quot;standard&quot;.<p>Just take a look:<p><a href="http://pivotallabs.com/tools/" rel="nofollow">http:&#x2F;&#x2F;pivotallabs.com&#x2F;tools&#x2F;</a><p><a href="http://www.gopivotal.com/about-pivotal/community" rel="nofollow">http:&#x2F;&#x2F;www.gopivotal.com&#x2F;about-pivotal&#x2F;community</a><p>Happy to see a company push open source forward as much.
mabboover 11 years ago
Whenever I see &quot;... for $X in Cash&quot; I really want to believe they rolled up with a cardboard box full of money.
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programminggeekover 11 years ago
So, does Xtreme Labs build custom mobile apps for enterprises? It is sort of hard to cut through all the buzzword bingo in the article.
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adammichaelcover 11 years ago
Writing is on the wall with mobile.<p>Here is a great presentation on the topic, Mobile is Eating the World. <a href="http://www.slideshare.net/bge20/2013-05-bea" rel="nofollow">http:&#x2F;&#x2F;www.slideshare.net&#x2F;bge20&#x2F;2013-05-bea</a><p>Disclaimer: I&#x27;m biased. I work for <a href="http://mokriya.com" rel="nofollow">http:&#x2F;&#x2F;mokriya.com</a>
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uladzislauover 11 years ago
The majority of stake in Xtreme Labs was bought by Chamath Palihapitiya one year ago for $20 million. <a href="http://allthingsd.com/20120925/chamath-palihapitiya-personally-buys-majority-stake-in-mobile-development-shop-xtreme-labs/" rel="nofollow">http:&#x2F;&#x2F;allthingsd.com&#x2F;20120925&#x2F;chamath-palihapitiya-personal...</a><p>Now it&#x27;s being sold for $65 million. I&#x27;m wondering what made Xtreme Labs three times as valuable in a year? And why Chamath sold it so quickly?
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rubyrescueover 11 years ago
This is surprising. Consultancies are generally worth 1.25x their annual revenue, or 5x their EBIDTA meaning they are doing 52mm in annual revenue or 13mm in EBIDTA. Perhaps the multiple is significantly higher for the client book.
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