Facebook nemeses put $1m in investors’ network
Winklevoss twins invest in litigation ally
The twin brothers who won a $65m settlement in a legal battle over the founding of Facebook Inc, have invested $1m in another social media company, The Wall Street Journal reported yesterday.
Cameron and Tyler Winklevoss gave the backing to SumZero, a network aimed at the investment sector, which was founded by two fellow Harvard Alumni, one of whom was an ally in their battle with Facebook CEO Mark Zuckerberg.
SumZero only allows members that work on the "buy side", a group defined by the site as professionals at hedge funds, mutual funds and private-equity firms. The "sell side" includes Wall Street banks and this group is prohibited from membership.
SumZero was founded by Harvard University alumni Divya Narendra and Aalap Mahadevia in 2008. Narendra was firmly in the Winklevoss twins' corner in their legal battle against Facebook, which won the brothers a cash and stock settlement valued at $65 million at a time when the company was valued at $15 billion.
In February, the brothers formed Winklevoss Capital as a means to invest their personal wealth and the move to invest in SumZero came some time after the brothers' June decision not to pursue further legal action against Facebook.