Robinhood Markets Inc., the online brokerage that’s suffered repeated outages during recent market turmoil, is close to raising new funding at a valuation of about $8 billion, according to people familiar with the matter.
The Menlo Park, California-based startup is raising about $250 million from investors led by Sequoia Capital, said the people, who asked not to be identified because the details are private. The company was most recently pegged to be worth $7.6 billion after a round of funding that closed in July. The new $8 billion figure is a pre-money valuation, the people said, meaning it refers to the value assigned to the company before the latest round of funds is received.
A final deal hasn’t been reached and might not be, the people said. Representatives for Robinhood and Sequoia declined to comment.