Bill Gates invests in, PlanetOut

Bill Gates, operating through his Cascade Investment arm, is among the investors participating in the $26.2 million funding of the gay, lesbian, bisexual and transgender online community PlanetOut.

PlanetOut, which trades on the Nasdaq under the ticker LGBT and also operates the Web site, went public at $9 per share in October 2004.

But since that time, the stock has been in free fall. It closed today at $1.59, up 15 percent.

Last year, PlanetOut reported revenue of $68.6 million –up 93 percent over 2005. But it also reported a net loss of $3.7 million last year.