Around Town | January 17, 2014 | Palo Alto Weekly | Palo Alto Online |

Palo Alto Weekly

News - January 17, 2014

Around Town

PAGING JORDAN BELFOR ... How much is a fancy thermostat worth to you? The "smart" Nest thermostat, which learns by itself how and when to regulate in-home temperature, will run you $249. But to Google Inc., the company that makes it, Palo Alto-based Nest Labs, is worth $3.2 billion. The search and advertising giant bought Nest Labs on Jan. 13 for that sum, making it the largest acquisition in Google's history. While this is big news for more than one venture capitalist — and Nest stock owners are sure to make out like bullion-bearing bandits — the deal had unintended (and huge) benefits for one defunct Rhode Island traffic-enforcement equipment maker. Nestor Inc.'s shares haven't been listed on any stock exchange and are worth less than a penny each, according to an article by the New York Times. When news of Nest Labs' sale broke, Nestor Inc.'s stocks, which had been dormant for years, jumped 1900 percent, according to an article by the Independent. After a ridiculously turbulent day of trading, the stock settled at 4 cents a share, still an order of magnitude higher than it had been.

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