Home / Science | Technology / Groupon’s billionaire cofounder Eric Lefkofsky just raised $70 million for his new company

Groupon’s billionaire cofounder Eric Lefkofsky just raised $70 million for his new company

Chicago billionaire Eric Lefkofsky has began 5 corporations, none of which would appear to guide him to discovered a company that’s seeking to treatment most cancers. Yet traders just gave his latest, two-year-old fear, Tempus, $70 million in Series C investment to do just that.

No doubt they’re drawn to the company’s project, which is to acquire huge amounts of genomic and medical information from most cancers sufferers in order that medical doctors can use the guidelines to higher personalize remedy.

But Lefkofsky — together with his longtime trade spouse Brad Keywell — additionally has the Midas contact. Indeed, although Lefkofsky has been painted as each good and from time to time, unorthodox, he’s made a ton of cash for his earliest traders.

Consider Groupon, the day by day offers web site that Lefkofsky cofounded in 2008. It hasn’t fared in addition to a public company as some may have was hoping. When it IPO’d in 2011, it used to be value $16 billion; as of late it’s marketplace cap is more or less $2.five billion. Lefkofsky courted controversy, too, via reportedly pulling out just about $400 million all the way through Groupon’s Series F spherical, leaving little operating capital for the company.

Still, the funding proved extremely profitable for Groupon’s earliest backers, together with New Enterprise Associates, which invested $14.eight million within the company and nonetheless owned 14.6 % of it when it made its public marketplace debut. Little marvel that NEA used to be a part of Tempus’s new $70 million spherical.

Revolution Growth, additionally named in as of late’s investment announcement, has additionally executed smartly via backing Lefkofsky and Keywell, who collectively personal Uptake, a Chicago-based predictive analytics company that has raised $85 million altogether from traders and is reportedly valued at $2 billion. It used to be based just 3 years in the past.

Both corporations are owned 50-50 via Lefkofsky and Keywell, who graduated from legislation faculty in combination and feature caught in combination since, first launching a short-lived athletic attire trade referred to as Brandon Apparel, ahead of transferring directly to create Starbelly.com, a startup that offered promotional t-shirts and low mugs. (It used to be bought for $240 million in 2000 via a company that filed for chapter the following yr.)

Others in their joint tasks come with the publicly traded corporations InnerWorkings and Echo Global Logistics and the Chicago challenge capital company Lightbank, which has made investments in additional than 100 corporations, together with the gigs market Fiverr.

Certainly, the founders didn’t want to release but some other company. But Tempus, now valued at $700 million, in step with Forbes, apparently represented a possibility too giant, and too significant, for Lefkofsky to withstand.

Talking with the Chicago Tribune ultimate yr, Lefkofsky defined that he first gravitated to the speculation after his spouse effectively battled breast most cancers a number of years in the past. He mentioned that all the way through her remedy length, he discovered hospitals as some distance in the back of of their use of information as small traders have been ahead of the appearance of Groupon.

Though Tempus faces numerous pageant, it’s additionally chasing after a fast-growing and probably extremely profitable marketplace, too.  The marketplace for most cancers and tumor profiling will succeed in more or less $60 billion inside 5 years, in accordance to a few estimates.

Lefkofsky — who’s reportedly value $2.2 billion — needn’t think carefully about his recognition, if he ever did. Still, given the prime profile of Groupon and the talk its upward push and next slide attracted, one imagines that so dramatically switching gears may also have appealed  to Lefkofsky. Though he’s indubitably pleased with Groupon, there’s not anything like developing some other a hit undertaking to remind those that you’ll.

Featured Image: Bloomberg / Contributor/Getty Images

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