Reddit is preparing to raise $150 million to $300 million in the upcoming Series D round that is said to be led by Chinese tech giant Tencent. It is expected that a post-money valuation of Reddit will reach $ 3 billion.
The exact details of the Series D could fluctuate before it’s formally announced, and Reddit and Tencent declined to comment. But supporting and moderating all that content isn’t cheap. The company had 350 employees just under a year ago, and is headquartered in pricey San Francisco.
Reddit was founded by Steve Huffman and Alexis Ohanian in 2005. In October 2006, the site was acquired by Conde Nast Publications. Reddit became a subsidiary of Condé Nast’s parent company, Advance Publications, in September 2011. As of August 2012, Reddit operated as an independent entity, although Advance was its largest shareholder.