The funding round, the second for the company this year, will be led by Fidelity Management and Research
Reddit is a social news aggregation, web content rating, and discussion website, which has been online since 2005. (Credit: Gerd Altmann from Pixabay)
Social media network Reddit said that it will raise up to $700m in a Series F funding round at a post-money valuation of more than $10bn.
The late-stage funding round will be led by Fidelity Management and Research and will see the participation of other existing investors.
It follows a Series E round in February 2021 in which Reddit secured over $250m at a valuation of $6bn. The California-based company at that time did not disclose the name of the investors.
Reddit said that it has been strategically investing to grow its business with plans to expand globally. The company has also been investing in innovating new ways for fostering community and strengthening its advertising offerings and capabilities.
The company, in a blog post, stated: “These efforts require us to grow our teams and make smart bets on how to make Reddit better, faster, easier to use, and more empowering for communities.
“We are also evolving as a business, maturing, and building the operational structures that will help propel us into the future with transparency, values, and integrity.”
The social media network said that it has appointed its first-ever chief financial officer and is building out a comprehensive finance function for growing internationally in the UK, Canada, Australia, and other countries.
This year, the company is said to have registered its first $100m advertising revenue quarter, which came in Q2 2021. This was a year-over-year increase of 192% for the social news aggregation, web content rating, and discussion website.
Reddit also said that it is putting money into its products and diversifying the platform’s experience to facilitate new ways for communities to connect via audio and video.
Online since 2005, Reddit lets people around the world to post content, upvote or downvote, and comment in various communities that are organised as per their interests.
In late 2020, the social media network acquired video-sharing app Dubsmash.