Funding round
SoundCloud Series E
SoundCloud, which works in music streaming and download services in Berlin, raised $70M in a Series E round announced on 15 Jun 2016, led by Twitter Ventures, at a $700M post-money valuation. 2 firms took part. It is SoundCloud's fifth venture round on record; the one before was a Growth in Dec 2014.
$70M
Amount raised
$700M
Post-money valuation
2
Investors
1 lead
0.6x
Step-up from the Growth
$1.20B in Dec 2014
10%
Stake sold
new money over the post-money
Valuation
What this round says about the price
This round priced SoundCloud at $700M after the new money, 0.6 times the $1.20B of its Growth (Dec 2014). The $70M bought investors about 10% of the company. It came 18 months after SoundCloud's Growth. It is 6.1% of the $1.14B SoundCloud has raised in the venture rounds on record. SoundCloud raised again 14 months later: a Series F round of $170M in Aug 2017.
SoundCloud's funding rounds
SoundCloud has 6 venture rounds on record. This one is highlighted.
Investors
Who put money in
Twitter Ventures led the round with 1 other firm.
Lead investor
- Twitter Ventures new investor
Also in the round
- Institutional Venture Partners backs 109 venture-backed companies new investor
Use of proceeds
What the money is for
According to the announcement, the money goes to product development, geographic expansion, sales and marketing, scaling operations and working capital.
- Product development
- Geographic expansion
- Sales and marketing
- Scaling operations
- Working capital
Comparable rounds
How it compares
The closest in time: Series E rounds in any sector within 6 months:
| Company | Announced | Amount | Post-money | Led by |
|---|---|---|---|---|
| Electronical Components Manufacturing | 19 May 2016 | $88M | $258M | Bank of England |
| Office Supplies | 30 Aug 2016 | $27M | not disclosed | Hubert Burda Media |
| Tech Companies | 1 Apr 2016 | $9.0M | not disclosed | Plymouth Growth Partners |
| Investment Consultants & Financial Advisors | 29 Mar 2016 | $100M | $700M | Kinnevik |
| Tech Companies | 22 Sep 2016 | $35M | not disclosed | not named |
| Biotechnology | 8 Sep 2016 | $20M | not disclosed | University of Texas Investment Management Company |
| Tech Companies | 18 Feb 2016 | $50M | not disclosed | Rembrandt Venture Partners and Madison Bay Capital Partners |
| Vegetarian Restaurants | 27 Oct 2016 | $22M | not disclosed | not named |
Sources
Where this comes from
Reported by 3 sources.
Questions
Frequently asked
How much did SoundCloud raise in its Series E round?
SoundCloud raised $70M in its Series E round, announced in Jun 2016.
Who led SoundCloud's Series E round?
Twitter Ventures led it, with Institutional Venture Partners.
What was SoundCloud's valuation at the Series E round?
$700M post-money.
Did SoundCloud raise again after this round?
Yes: a Series F round in Aug 2017 of $170M.