News aggregator Reddit to raise $50 million m, valuations are more than 500 million dollars

Beijing time on September 8, the evening news, according to people familiar with the news aggregator Reddit had reached a preliminary agreement, and potential investors will be sold at more than $5000 price is less than 10% of the company, valuation for the company more than $500 million.

given investors recently affection for content sites, such as BuzzFeed and Twitch, expect the Reddit valuations will continue to expand. In contrast, Reddit actively seek valuation is only $400 million last year.

, according to people familiar with the Reddit potential investors including the financing risk investment company Anderson Horowitz (Andreessen Horowitz) and sequoia capital, and some people close to the incubator Y Combinator.

Reddit, founded in 2005, it was hatched by Y Combinator. People familiar with the matter said, in addition to the investors, to participate in the investment also includes another well-known investors.

at present, Reddit Conde Nast parent company’s largest shareholder is the world’s top magazine company Advance Publication. After completion of the transaction, Advance Publication will still be Reddit’s largest shareholder, stake of about 50%.

given Reddit to the importance of the Internet, it will be a very important financing. On Reddit user visits to 133 million, for a distributor such as BuzzFeed, Reddit is a reliable content aggregator.

last week, due to the spread of Hollywood actress yanzhao Reddit community is controversial. Subsequently, Reddit shut down a section allows users to publish pictures. But the company CEO huang2 yi4 mountain (Yishan Wong) at the same time, points out that the company’s business philosophy will not change. In addition to the very special circumstances, will continue to allow users to publish anything they liked.

creation hill said: “we are not only a allows users to post links and comment on the website, is also a new type of community.”

at present, Reddit, the content of the website did not bring significant revenue for the company. Over the past nine years, free Reddit holds fairly cautious attitude on commercial, so far the company advertising revenue is almost zero.

but at the same time, Reddit has begun to consider commercial matters, such as hired well-known silicon valley venture-capital firm kleiner perkins caufield & byers BaoKang female partners such as before (Ellen Pao) is responsible for the company’s business operations.

source: sina science and technology

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