Automattic Said to Be Talking With Insight for $150MSerena Saitto
Automattic Inc., the company that operates the blogging system WordPress.com, is in talks with Insight Venture Partners to lead a $150 million fundraising round, according to people with knowledge of the situation.
The San Francisco-based company, which has so far raised more than $150 million from investors including Iconiq Capital and Tiger Global Management LLC, may be valued at $1 billion or more, said the people, who asked not to be identified because the talks are private.
Automattic was founded in 2005 and is led by Chief Executive Officer Matt Mullenweg. Apart from WordPress, the company has a portfolio of other Web products including survey tool Polldaddy. Automattic operates as the primary steward of the WordPress community and its premium tools are used to run sites like Time.com, NYPost.com and Quartz.
Last month, the company purchased Longreads, an Oakland, California-based startup that links to stories of more than 1,500 words and promises “the best storytelling on the Web.” Visual online editor startup Scroll Kit also recently said on its website that it was joining the WordPress team.
A representative for Automattic declined to comment. Fortune reported last month that Automattic is seeking to raise more than $100 million.