Yazam is said to have paid around £33 million for First Tuesday last year. First Tuesday’s matchmaking events take place in 111 cities around the world, with entrepreneurs being introduced to potential investors and service providers. Its revenue is largely based on a fee charged for each introduction that leads to an investment. The success fee is charged at 2% of the total investment amount. Last week, it was reported that Yazam was trying to sell First Tuesday at around £2 million because the organisation is said to be costing Yazam around £276,000 per month.
First Tuesday has a small number of full time employees, but has over 450 people involved in event organisation. Nine representatives met with Yazam’s management to negotiate the purchase but yesterday announced that their bid was rejected.
According to the The Industry Standard Europe, a number of conference organisers have approached Yazam to express interest in buying the First Tuesday brand, but not the network.