Pinterest’s boom in popularity shows no signs of slowing down – and the company is now reportedly seeking fresh investment that could increase its value by as much as 66% in less than a year.
For anyone unfamiliar with Pinterest, it’s a social media platform that allows users to pin images and videos to their pinboards and share any interesting visual content that they find online. Part of Pinterest’s appeal is that it’s incredibly easy to use and it has synced with sites like Facebook, meaning the number of people using it has snowballed since its launch in 2010.
An estimated 11 million people have Pinterest accounts and it’s used by brands as a traffic-driving exercise to their sites, making it an important e-commerce tool. Pinterest raised $100 million in investment last May in order to fund global expansion that included moving into the Japanese market. That saw Pinterest’s value creep up to between $1 billion and $1.5billion.
The Wall Street Journal is now reporting that Pinterest is on the lookout for additional funds, although the company has yet to confirm the story.
“Pinterest has seen rapid and impressive growth within a relatively short space of time,” said a spokesman for forex trading firm City Index.
“The move to raise more funds sees its potential valuation increase by as much as 66% in less than a year. Is that too much too fast? Potentially, but internet start-ups on rapid user-growth paths remain highly attractive to venture capitalists looking for the next Facebook and so it is achievable.”