Hootsuite Hits $250M in Total Funding With New FinancingGerrit De Vynck
Hootsuite Media Inc. has secured $60 million in new funding as the social-marketing platform inches closer to a possible initial public offering.
This round brings the Vancouver-based company’s total funding to $250 million, according to Hootsuite. The financing was led by a large Boston-based asset manager, which was joined by existing investors Accel Partners, Insight Venture Partners and Omers Ventures, Hootsuite said in a statement. The Wall Street Journal reported earlier this month that Boston-based Fidelity Investments was leading a group providing new financing.
“We had a lot of interest for this round,” Ryan Holmes, Hootsuite’s chief executive officer, said in a phone interview. “There wasn’t enough room to bring in all the investors that were interested.”
Hootsuite, which offers a single dashboard for companies to create and monitor advertising campaigns across sites like Facebook Inc. and Twitter Inc., is part of a wave of Canadian technology startups including Shopify Inc. and Desire2Learn Inc. scoring funding from well-known venture capitalists. John Ruffolo -- who has invested in all three through Omers Ventures, the venture capital arm of the Ontario Municipal Employees Retirement System pension fund -- has said the companies are all potential candidates for IPOs.
Holmes declined to comment on the company’s valuation or when he wants to take it public.
“We’re setting up our company for what a public company looks like because I think it’s the right thing to do, but as I said, we’re in no rush,” he said.
Hootsuite also announced the acquisition of Zeetl, a service that helps companies bolster customer service by giving consumers access to a phone number through social media. Terms of the purchase weren’t disclosed.
Some of the money raised will be used for more acquisitions as the company focuses on social-related products and services, Holmes said.