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Academic
: ConglomerateGeorges Doriot & DEC
By Gordon Smith, Christine, Hurt, Vic Fleischer, Fred Tung, Lisa Fairfax, David Zaring
I just started reading Creative Capital: George Doriot and the Birth of Venture Capital, on new biography by Spencer E. Ante. When I first took an interest in venture capital, I read a fair amount about American Research and Development (ARD), the firm that Doriot made famous. In the Introduction, Ante retells the story of ARD's landmark investment in Digital Equipment Corporation (DEC). Have you ever seen the numbers?
ARD received 70% of DEC in exchange for $70,000. When ARD sold that stake in DEC, the company was worth over $400 million.
No wonder Doriot inspired imitators.
Full post as published by Conglomerate on July 21, 2008 (boomark / email).

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