After butting minds when all too often, the VCs eliminated Kremen through the CEO post in mid-1995, although he stayed in the ECI board.
A opportunity that is »missed of massive proportions
The boardвЂ™s alternative would be to find a brand new CEO, however their search ended up being ill-fated right away. Richard Neustadt, the first prospect, was вЂњa great, salt-of-the-earth guy,вЂќ according to Kremen. Kremen liked Neustadt although the newcomer ended up being using their previous work.
No body may have predicted just what happened next. Kamra recalled: вЂњWe shook hands in Southern Park, that is a little park right behind where in actuality the workplace ended up being, on a Friday afternoon. [Neustadt] said, вЂHey, IвЂ™m going rafting with my girlfriend that is new this. IвЂ™ll start very first thing Monday.вЂ™вЂќ
Neustadt passed away regarding the Yuba River that week-end. Kamra thinks that Neustadt might have changed the whole companyвЂ™s trajectory. The following two CEOs the VCs brought in proved incapable together with to be changed.
Then board made a mistake that is billion-dollar. Frustrated aided by the trouble of choosing the right CEO, and desperate to pursue the newspaper-partnership business design for ECI, the VCs spun down Match in 1997, attempting to sell it for $7 million to Cendant, a Connecticut consumer-services company.
Kamra, that has led the Match investment for Canaan Partners, stated the move had been one of the primary missed possibilities of his profession.
Kremen ended up being devastated. He had highly compared the purchase, nevertheless the board outvoted him regarding the choice. вЂњIt had been my infant. It took me some time for you let go of, » he stated in a 1998 meeting with SFGate.
Set alongside the not as much as $2 million which had funded the organization up to then, the $7 million purchase cost may not excessively have seemed low.