- Reddit raises $300 million at a $3 billion valuation.
- Investors include Tencent, Sequoia, Fidelity and Andreessen Horowitz.
- CEO Steve Huffman says the company will use the investment to improve Reddit’s website and work to take digital ad market share away from Facebook and Google.
What do Sen. Kamala Harris, Toyota, Charles Schwab and Jordan Peele’s new movie “Us” all have in common?
They all turned to Reddit to deploy ad campaigns and connect with consumers. The social network’s growth in popularity with a broad range of advertisers has attracted new investors and is driving up its valuation.
The company announced Monday it has raised $300 million at a $3 billion valuation. That’s up from a $1.8 billion valuation when the company took in a $200 million in investment in 2017.
Chinese giant Tencent is the newcomer in this series D round, investing $150 million and joining prior investors in the company. With this financing, the company says it plans to expand internationally and grow its ad platform, targeting the market dominated by Facebook and Google. News that Reddit was raising a round with Tencent as an investor was previously reported by TechCrunch.