Last week, we told you about some of the heavy hitters from the Seattle tech community lining up behind fast-growing mobile gaming startup Z2Live. At the time, CEO David Bluhm didn’t want to disclose the funding amount. But these things have a way of slipping out, primarily through filings with the SEC. So, how much did the startup reel in? The filing indicates $2.5 million.
I followed up with Bluhm for additional comments. And while he didn’t confirm the amount, the entrepreneur did have a couple of interesting comments about raising cash.
“Z2Live is very comfortably profitable and so we we’re not looking for capital to fund our operations,” he said.
Hmmm. So, why raise outside capital? Well, there are many reasons to do so even if you don’t necessarily need it — protection from a down economy, strategic acquisitions, etc.
But in this case, Bluhm said that adding Draper Fisher Jurvetson to the mix was more about a “chemistry and strategy fit … than a funding event for the company.”
That’s a good place to be as a startup, choosing financial partners because they add value beyond the capital. And Bluhm — whose been around the startup block for years — certainly knows this.
Then, as part of the same email message, Bluhm dropped a bit of an odd statement. He said:
“There are still many possible scenarios being considered and so the amount of funding to date is not that relevant.”
That was a curious comment, so I asked for some clarification on what is going on. Bluhm hasn’t responded, but it sounds like a company that’s either raising more cash or considering some sort of strategic partnership/acquisition.
It certainly seems that Z2Live — distributor of the hit iPad and iPhone game Trade Nations — has a lot of stuff percolating.
Last week, the company named Bill Bryant of Draper Fisher Jurvetston and former Microsoft gaming veteran Ed Fries to its board. Madrona Venture Group also is an investor in the company.