Reddit said on Monday that it has raised more than $ 250 million in Series E financing from new and existing investors. Sources say the company raised the new financing in a $ 6 billion pre-monetary valuation.
Why it matters: The company has doubled its valuation since its last $ 300 million financing round, with a valuation of $ 3 billion in 2019.
Be smart: It’s a great time for Reddit to raise money. The company is experiencing record downloads and traffic amid the populist revolution on Wall Street that was sown by retail investors on Reddit.
- In January, Reddit’s mobile app saw 6.6 million installations globally, a 43% month-on-month increase of about 4.6 million in December, by Sensor Tower – it’s the best month ever.
- The company said in December that it has 52 million daily active users.
Details: In a statement, the company said it would use the funds to make more strategic investments in Reddit “including video, advertising, consumer products and expansion into international markets”.
- In December, Reddit acquired Dubsmash, the short-form video application similar to TikTok.
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