DistroKid valued at $1.three billion after funding from Twitter investor Perception Companions
DistroKid is a unicorn.
The U.S. DIY distribution platform confirmed today (Aug. 16) that it has accepted a $ 1.3 billion investment from Insight Partners.
(DistroKid hasn’t confirmed the amount of funding from Insight Partners, but for example, DistroKid would have a valuation of $ 1.3 billion if 10% of that sold for $ 130 million or 1% for $ 13 million would.)
Silversmith Capital Partners, a Boston-based growth equity firm that led DistroKid’s first outside investment in 2018, will retain “a significant ownership position” and remain on DistroKid’s board of directors.
MBW is also known that Spotify will retain its minority stake in the distributor.
Founded in 1995, New York-based Insight Partners has invested in more than 400 companies worldwide and raised more than $ 30 billion in capital commitments through a number of funds.
Its portfolio includes Shopify and HelloFresh while it was an early investor in Twitter.
The $ 1.3 billion valuation brings DistroKid into the $ 1 billion sales club alongside Believe – owner of DistroKid rival TuneCore – which currently has a public market cap of 1.64 billion euros ($ 1.93 billion ) at the Paris Euronext.
In another major update today, DistroKid confirmed that it now has more than 2 million artists on its platform using “the tools and services that DistroKid offers”.
The company estimates that it distributes more than a third of all new music worldwide.
“My goal since starting DistroKid has been to make great things for musicians,” said the company’s founder and CEO Philip Kaplan today. “Our growth has been wild, but the mission hasn’t changed. Most of all, we are incredibly honored and grateful for every artist who has chosen DistroKid to be a part of their journey.
“I’m excited to be working with Insight Partners as we continue to create amazing things to help musicians and empower creators around the world.”
“DistroKid is already a household name among musicians of all levels and we are excited to partner with them as they continue their rapid growth.”
Deven Parekh, Insight Partner
Deven Parekh, Managing Director of Insight Partners, said, “DistroKid is transforming the music industry with its focus on innovation, including the latest technology and engineering expertise. By helping DistroKid develop artists with the same opportunities as superstars, DistroKid stands out in an industry traditionally known for being tough to break through.
“DistroKid is already a household name among musicians of all levels and we are excited to partner with them as they continue their rapid growth.”Music business worldwide