Grammarly raises $200M at a $13B valuation (!)
Grammarly has raised a fresh funding round.
- The amount of investment is $200 million. This is the largest round in the history of the company.
- The valuation of the business has grown to $13 billion, which is six times more than the company’s last known valuation.
- Among the investors are Baillie Gifford, General Catalyst (invested in the Ukrainian company AirSlate), and several investment firms managed by BlackRock.
- The money will be used to improve the company’s products and expand the team.
- Grammarly has 30 million daily users.
- The company employs over 600 people in San Francisco, Vancouver, and Kyiv.
Grammarly is an AI-based grammar and writing tool. The basic set of features is free, and the advanced version is available by subscription. The company was founded in 2009 in Kyiv by Ukrainians Alex Shevchenko, Max Lytvyn, and Dmytro Lider.
The fortune of each of the founders has increased significantly. Before this round, they owned 76% of the company in equal shares — the estimated wealth was $585 million each. The company did not confirm this information. We previously reported that the stakes of all three founders grew in equal proportions after the investment. However, according to AIN.UA data, only Litvin and Shevchenko’s stakes increased. The company does not disclose the exact size of the two shareholders’ stakes, as well as the sum of their fortunes.
Previously, the company raised two rounds of investment, $110 million in 2017 and another $90 million in 2019, after which it officially received unicorn status.
Today Grammarly is the most valued private technology company with founders from Ukraine and a huge local team.