Business News Holding

Tag: ge

  • Box Raises $125 Million in Additional Capital

    There are many quality cloud storage companies out there, but Box has managed to distinguish itself by leaving private consumers alone and instead zeroing in on the business community. That small difference has led to a large amount of funding, but Box isn’t resting on its laurels. In order to take their business where they want it to go, Box is still looking for cash, and has been very successful in their search. Box recently announced a $125 million additional funding raise, bringing the total company valuation up to $1.33 billion.

    Several companies were involved in this latest fundraise, including Social+Capital Partnership, but it was General Atlantic that led the way. According to available data, this latest round of capital means Box has just about doubled in value, all during the last nine months. Back in the fall of 2011, Box was valued at $650 million.

    PrivCo, the research firm that released Box’s financial data, praised this latest move. Their CEO, Sam Hamadeh declared it proves that companies that have a strong model for revenue are still able to raise private capital at this scale, even during our economic recession.

    The Box board of directors will shift a bit now. Gary Reiner, one of General Atlantic’s investment partners and the former CIO of GE will join the board. And with their coffers full, Box will focus on building for the future. That means new technology, expansion into more regions of the world, and the capability to manage even larger corporate partners.

    According to Box CEO and co-founder Aaron Levie, the company is at the forefront of a software revolution. He envisions a time when every company in the world has balanced access to mobile technology, social media and cloud computing in order to keep pace with the direction of business.

  • Comcast and GE Form Venture and Take Control of NBC

    Comcast and General Electric announced that they have signed a definitive agreement to form a joint venture that will be 51 percent owned by Comcast, 49 percent owned by GE and managed by Comcast.

    The joint venture will consist of the NBC Universal businesses and Comcast’s cable networks, regional sports networks and certain digital properties and certain unconsolidated investments.

    A portfolio of cable networks and regional sports networks will account for about 80 percent of the new venture cash flow, including USA, Bravo, Syfy, E!, Versus, CNBC and MSNBC. The campanies assure the joint venture will be financially strong “with a robust cash-flow-generation capability.”

    GE will contribute to the joint venture NBCU’s businesses valued at $30 billion, including its cable networks, filmed entertainment, televised entertainment, theme parks, and unconsolidated investments, subject to $9.1 billion in debt to third party lenders.

    Comcast will contribute its cable networks including E!, Versus and the Golf Channel, its ten regional sports networks, and certain digital media properties, collectively valued at $7.25 billion, and make a payment to GE of approximately $6.5 billion of cash subject to certain adjustments based on various events between signing and closing.

    According to Jeff Immelt, GE Chairman and CEO, the combination of Comcast’s cable and regional sports networks and digital media properties and NBCU will deliver strong returns for GE shareholders and business partners.

    “NBCU has been a great business for GE over the past two decades. We have generated an average annual return of 11 percent, while expanding into cable, movies, parks and international media. We are reducing our ownership stake from 80 percent to 49 percent of a more valuable entity. By doing so, GE gets a good value for NBCU. This transaction will generate approximately $8 billion of cash at closing with an expected small after-tax gain,” he said.

    Comcast also announced the creation of Comcast Entertainment Group (CEG), which will house Comcast’s interest in the joint venture and will stand alongside Comcast Cable, which operates the company’s traditional cable business.

    Headquarters for the business will remain in New York. The joint venture board will have three directors nominated by Comcast and two nominated by GE.

    Jeff Zucker, current president and CEO of NBCU, will be CEO of the new joint venture and will report to Steve Burke, Comcast Chief Operating Officer. Zucker said, “I’m genuinely excited that I will be leading this wonderful organization, along with the Comcast team, at this important time in our history."

  • GE Delays Launch of HDTVs


    General Electric is to delay its re-entry into the television market after a 20-year gap as a result of "marketing issues".

    The company announced in September that it was to offer GE-branded HDTVs in partnership with a Taiwanese company.

    Now it has emerged that the company is pushing everything back by around three months, according to Engadget.

    It reports that the setback isn’t due to "operational or manufacturing issues", but suggests it may have more to do with a desire to better implement connected HDTV features.

    Whatever the reason, GE hasn’t picked the time to be re-entering the market – and its pre-launch jitters certainly don’t inspire great hope in the as-yet unseen product.