Newsletter platform Substack has raised US$100 million in its latest funding round, bringing its valuation to $1.1 billion.
The funding round was led by BOND and the Chernin Group, and included Andreessen Horowitz along with the CEOs of Skims and Klutch Sports Group.
“We’ll invest in better tools, broader reach, and deeper support for the writers and creators driving Substack’s ecosystem. Already, hundreds of millions of dollars flow from audiences to creators there every year,” wrote Substack co-founders Chris Best, Hamish McKenzie, and Jairaj Sethi.
“The model is working — across writing, audio, video, and communities — and this funding lets us go further.”
With this new funding, Substack is now valued at US$1.1 billion, according to the New York Times.
BOND general partner Mood Rowghani will also join Substack's board, the company said.
Substack said it would continue to push forward with its app, which became the main source of subscriptions on the platform last year. The app allows subscribers to message newsletter creators and add short-form text posts.
It has also become increasingly open to advertising, with Chernin Group co-founder Mike Kerns saying that Substack could integrate tools for ads into the platform.
The platform’s last major funding round was in 2021, where it raised US$65 million. This brings its valuation to $650 million.
Substack said in March that it had reached 5 million paid subscribers, less than four months after hitting the 4 million mark. Around 82% of its top 250 creators were regularly releasing audio and video content, McKenzie said at the time, rising from roughly 50% the previous year.
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