This Day On The Street
Continue to site right-arrow
ADVERTISEMENT
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here
TheStreet Open House

The Deal: Reputation.com Acquires MySocialCloud

NEW YORK ( The Deal) -- Online reputation management and digital privacy company Reputation.com continued its buying spree on Wednesday, July 24, with the acquisition of MySocialCloud, a move that will help develop its cloud-based privacy capabilities.

Financial details of the deal weren't revealed by Redwood City, Calif.-based Reputation.com, but the company's CEO and founder, Michael Fertik, said in a phone interview that it was a cash-and-stock transaction and was handled internally.

MySocialCloud's one-stop password platform lets users manage all their logins in one place, known as the "Cloud It," and aligns with the development of Reputation.com's consumer data vault, the acquirer said in a July 24 statement. "People are going to want one place to go to protect their data," Fertik said. "We want to be the user-centric, pro-privacy company -- protect, power and monitor your data for you. Right now, everybody controls everything but you."

Fertik said he was introduced to MySocialCloud founders -- 22-year old Scott Ferreira and his 20-year old sister, Stacey, as well Shiv Prakash -- around the beginning of the year. A deal followed quickly.

Los Angeles-based MySocialCloud, founded in 2011, has received backing from several investors, including Virgin Group's founder and chairman Sir Richard Branson, Insight Venture Partners' co-founder Jerry Murdock and Photobucket founder Alex Welch.

The acquisition represents the online reputation management company's third purchase this year.

Less than a month ago, on June 27, Reputation.com bought the PaperKarma mobile app, which filters user mail. Terms of the transaction were not released.

On Feb. 4, Reputation.com entered the European marketplace with the acquisition of U.K.-based online reputation management firm Reputation 24/7, now called Reputation.com (U.K.), for an undisclosed price.

"International is becoming more important to us," Fertik said, explaining that 30% the company's organic growth is occurring overseas. "It's a high priority."

The more than six-year-old company, which was formerly known as ReputationDefender Inc., is seeking additional strategic acquisitions and has already identified potential targets, Fertik said, declining to elaborate.

Reputation.com's latest financing round took place on Aug. 2, 2011, upon which it raised $41 million led by Menlo Park, Calif.-based August Capital. Reputation.com, which Fertik said has raised approximately $67 million since its inception, is also backed by JAFCO Ventures, Bessemer Venture Partners, Kleiner Perkins Caufield & Byers and Floodgate Fund.

1 of 2

Check Out Our Best Services for Investors

Action Alerts PLUS

Jim Cramer and Stephanie Link reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

Jim Cramer's protégé, David Peltier, uncovers low dollar stocks with extraordinary upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
Try it NOW
Try it NOW
Try it NOW

Check Out Our Best Services for Investors

Dividend Stock Advisor

Jim Cramer's protégé, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Updates with exact steps to take - BUY, HOLD, SELL
Trifecta Stocks

Every recommendation goes through 3 layers of intense scrutiny—quantitative, fundamental and technical analysis—to maximize profit potential and minimize risk.

Product Features:
  • Model Portfolio
  • Intra Day Trade alerts
  • Access to Quant Ratings
Options Profits

Our options trading pros provide over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • Actionable options commentary and news
  • Real-time trading community
Try it NOW
Try it NOW
Try it NOW
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!

Markets

DOW 17,164.95 -251.90 -1.45%
S&P 500 1,994.99 -26.26 -1.30%
NASDAQ 4,635.24 -48.1670 -1.03%

Partners Compare Online Brokers

Free Reports

Free Newsletters from TheStreet

My Subscriptions:

After the Bell

Before the Bell

Booyah! Newsletter

Midday Bell

TheStreet Top 10 Stories

Winners & Losers

Register for Newsletters
Top Rated Stocks Top Rated Funds Top Rated ETFs