Juno Online Services LP, which offers free dial-up internet access supported by advertising and low-cost web access has secured $65m through a sale of preferred stock to investors that included Intel Corp and News Corp. Management at the company were not around Friday to explain what the company’s plans are for the money, but presumably they include developing its network, which is outsourced to the likes of Concentric Networks Inc and Sprint Corp, and boosting its sales and marketing efforts.
Juno would not provide a complete list of the investors or any of the stakes, but said Intel, News Corp, Sycamore Ventures and Prospect Street are all new investors. The advertisers buy the space on Juno because the users provide Juno with very detailed profiles in order to get the free email. Last year the New York- based company introduced two fee-based services for enhanced email and web access. The company claims 6.5 million users in all. PaineWebber Inc acted as the placement agent this time.
