VCS Pursue Hopin with $5-6B Valuation

Hopin Pursues Significant Funding Round

The virtual events platform, Hopin, is reportedly seeking a substantial valuation as it progresses through a new funding round.

Multiple sources speaking with TechCrunch indicate the company, established in the middle of 2019, is currently engaging with investors. They are potentially nearing completion of a Series C fundraise aiming to secure approximately $400 million.

Valuation Details

The anticipated pre-money valuation for this round is estimated at $5 billion. However, some terms offered to the company suggest a potential valuation reaching as high as $6 billion, albeit with increased dilution for existing shareholders.

The details of the deal remain fluid, meaning both the round size and the final valuation are still subject to adjustments.

Financial Performance

According to one source, Hopin’s Annual Recurring Revenue (ARR) has reached $60 million. This implies a valuation multiple of 80-100x, consistent with valuations seen for other high-growth SaaS companies.

The company has rapidly secured funding in recent months. A $125 million Series B round at a $2.125 billion valuation was completed late last year.

Prior to that, Hopin raised a $40 million Series A over the summer and a $6.5 million seed round the previous winter. Crunchbase data shows the company has raised a total of $171.4 million in venture capital over roughly 20 months.

Rapid Growth

Previously, Hopin’s ARR had expanded from $0 to $20 million, while its user base grew from virtually zero to 3.5 million by November. At that time, the platform supported 50,000 active groups.

Hopin’s platform aims to replicate the experience of in-person events in a virtual environment. It provides features for virtual exhibition floors, networking opportunities, and access to live discussions and panels.

Industry Context

The platform’s success is largely attributed to the COVID-19 pandemic, which led to widespread cancellations of business and educational conferences due to travel restrictions.

TechCrunch utilizes Hopin to host its editorial events, including Disrupt, Early Stage, and Extra Crunch Live. These software choices are separate from the editorial team’s budget.

Competitive Landscape

While Hopin currently leads the virtual events market, it faces competition from companies like Run The World, Welcome, Spotify, and Clubhouse. InEvent and Hubilo are also key players in this rapidly evolving industry.

Numerous other startups are also entering or pivoting to address the growing demand for virtual event solutions.

Hopin has been contacted for a statement.

This article has been updated to reflect that Andreessen Horowitz and General Catalyst are leading the funding round.