It’s official: The workplace messaging app Slack is worth $5.1 billion, or £3.8 billion, after raising a $250 million funding round from SoftBank’s Vision Fund, Accel, and other investors.
The new valuation is up from $3.8 billion on Slack’s most recent round and takes the firm’s total funding to $841 million.
The company plans to use its new funding for “operational flexibility”, and it said it still had most of the funding it’s previously raised, Bloomberg reported.
Slack launched in 2013, billing its work chat service as the end of email. It became the fastest startup to become a “unicorn” with a $1 billion valuation, and last week it reported a major milestone: $200 million in recurring annual revenue. There were also rumours that Amazon was considering acquiring the firm, though a deal hasn’t materialised.
Slack has more than 9 million weekly active users, up from 6.8 million in January.
CEO Stewart Butterfield said the firm would probably go public, but not until after 2018, according to the Financial Times.
The latest round shows the ready flood of private money available to fast-growing software startups. SoftBank revealed its $93 billion, or £69 billion, Vision Fund in May and has this year gone on an investment spree, putting cash into the troubled fintech startup SoFi, the shared-office-space firm WeWork, and the Indian e-commerce site Snapdeal, among others.