Group coupon service Groupon.com has raised $500 million in venture capital funding. After turning down a $6 billion offer from Google Inc. (NASDAQ:GOOG), the company decided to file for permission to raise $950 million in Series G.
Of that $950 million, it looks like $500 million has been raised from unknown investors. There are no new board members listed in the SEC filing. Some reports are suggesting that some of the new investors are Morgan Stanley, T. Rowe Price, and Fidelity. Previous investor Digital Sky Technologies is believed to be one of the investors in this round also.
One of the reasons why Groupon is raising this round is so that existing shareholders can cash out. As you may expect, some of Groupon’s shareholders weren’t too thrilled that Groupon turned down Google’s offer.