Russian VCs pour $800 million into Twitter

[Newsjock]

http://www.mercurynews.com/wiretap/ci_18596988

Even as some naysayers have questioned Twitter's business model, the microblogging site has landed the largest venture capital investment in history as part of an $800 million funding deal.

Although Twitter would not confirm the size of the round led by Russian venture firm DST Global, saying only that it was "significant," regulatory documents indicate the company has sold $400 million in new shares. That likely values the two-year-old startup at $8 billion, more than double what it was worth after closing its last venture round in December.

Accompanying the $400 million investment, according to a person close to the company, is another $400 million to let Twitter's employees and investors cash out some of their shares.

DST used the same tactic two years ago in the transaction that put it on Silicon Valley's map: A $400 million investment in Facebook. Half of that money went to the company, and half to give insiders liquidity while easing pressure on management to go public.

[girl gone mad]

1. What bubble?

lol.