In Tumblr, the blogging service, is close to raising $75-$100 million in venture capital. If the deal goes through, it would imply a market value of $800 million for the company.
According to sources, Greylock Partners, whose portfolio companies include daily deals company Groupon and bed-for-rent service Airbnb, is one of the big firms that is taking part in the deal. Both Tumblr and Greylock have declined to comment. The list of existing investors in Tumblr includes the likes of Spark Capital, Union Square Ventures, and Sequoia Capital.
Recently Twitter has managed to raise large amount of venture funding. In June, the mobile location based start-up, Foursquare, raised $50 million in a round of financing lead by venture capital firm Andreessen Horowitz.
With social networks like Facebook already enjoying sky-high valuations, venture capitalists have also started warming up to blogging sites is also on the rise.
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