House Party Inc. Raises $3.4 Million in Series B Financing

IRVINGTON, N.Y. House Party Inc. (www.houseparty.com), a leading consumer activation and experiential marketing company, today announced that it has closed a $3.4 million round of Series B financing. The round was led by Josh Weinreich, a director of the company and an investor in House Party’s Series A financing. A majority of the company’s high profile Series A investors also participated in the current round as well as several new, high profile angel investors.

House Party was oversubscribed during the round of financing due to the tremendous enthusiasm for the company, its growth and clients’ testimonials. Proceeds from the round will help fuel the company’s projected triple digit growth and expedite existing product development initiatives. House Party will continue to diversify its revenue stream and create new key offerings to meet market demand.

“House Party is very fortunate to have such a strong partner in Josh and such a committed Board as we look toward a tremendously exciting future for the company. We are beyond thrilled to use this capital to dramatically accelerate our growth,” said Kitty Kolding, CEO of House Party. “Our clients see tremendous value and measurable business results in the powerful consumer connections we create for them, and this capital will help us take that proven capability to exciting new levels.”

The company specializes in finding qualified brand advocates to host in-home parties where a brand, product or element of entertainment programming is at the center of the party. Thousands of parties take place across the country all on the same day, and hosts invite their friends into their homes to hold a fun, authentic party. Each event is tracked and monitored by a custom-branded micro-site, launched to gather, galvanize and manage the party community and track the powerful and carefully engineered outcomes of each House Party event.

Founded in 2005 by alternative marketing specialist Parker Reilly and Founder and CEO of Jupiter Communications Gene DeRose, House Party began a substantial growth curve after Ms. Kolding was named CEO in April 2007. Since that time the client base has grown to include various market segments such as food, CPG, entertainment, pharmaceuticals and consumer electronics and such Fortune 500 companies as NBC, Ford, Mattel, Cartoon Network, P&G, Johnson & Johnson, Kraft, GlaxoSmithKline, Canon and Microsoft.

“We’re electrified by the opportunity ahead of House Party and are extremely happy to have this financing led by such a long time friend and supporter of the company,” said Gene DeRose, now Chairman of the Board.

“House Party has done amazing things with very little capital and an incredibly disciplined management team that has run a cash-flow positive business in a very tough market. In addition, the company is faring exceptionally well in today’s challenging marketplace, primarily because of the strong value and measurable results it delivers its Fortune 500 clients,” said Weinreich, the round’s lead investor. “As brand marketers and agencies continue to see the power of the consumer activation capabilities that House Party offers, the company stands to grow more aggressively and is perfectly positioned to exploit its unique approach to marketing.”

About House Party

Founded in 2005, House Party (www.houseparty.com) is a leading consumer activation and experiential marketing services company that engages thousands of qualified consumer advocates who host in-home parties featuring a brand, product or element of entertainment programming. Managed via a proprietary, customized online community space for each brand event, consumers engage both in home and online to explore and promote brands they love. Headquartered in Irvington, NY, House Party works with such industries as consumer packaged goods, food & beverage, television, theatrical releases, consumer electronics, pharmaceutical, toys & games and automotive. Current clients include TNT, Ford, Kraft, Microsoft and P&G.

Source: House Party Inc.