TweetDeck, the online application which connects social media sites, is close to finalising a £19m US takeover deal, it has been announced.
Founded by Iain Dodsworth, TweetDeck allows users to connect their contacts across social media sites such as Twitter, Facebook, MySpace and LinkedIn. The platform also allows an online update to be posted across all sites simultaneously.
In 2009, TweetDeck, which has become one of the most prominent companies in the tech hub of East London’s Silicon Roundabout, raised $3.5m in funding and managed to provide a fast return for its investors.
According to reports, the acquisition of TweetDeck by Silicon Valley-based UberMedia, the developer of applications and web-based services, is expected to reach £19m and is expected to be finalised next month. Both firms declined to comment.
The buy-out is likely to be completed using a combination of cash and shares and would value TweetDeck at around $25m to $30m, while making investors - the Accelerator Group, Betaworks and ProFounders Capital - a significant return.
The deal is expected to boost David Cameron’s plans to create an ‘East London Tech City’ scheme in a drive to stimulate technology entrepreneurship in the UK.
Reportedly more than 20 million users have downloaded TweetDeck’s free software tools since the company launched in 2008.
© Crimson Business Ltd. 2011