Strava, the social exercise platform, just announced it has raised $110 million in a Series F financing round led by TCV and Sequoia Capital, with participation by Dragoneer Investment Group and existing investors including Madrone Capital Partners, Jackson Square Ventures and Go4it Capital.
Previously, the company had raised $41.9 million in funding over six funding rounds, the last of which was in 2017. In October, Bloomburg reported that Strava was looking to raise equity from new investors at a valuation of more than $1 billion.
“TCV has been bullish on and an active investor in the connected fitness and health ecosystems over an extended duration. As the largest and most engaged community of athletes in the world, Strava is uniquely positioned and boasts a strong value proposition for athletes and partners alike,” said Neil Tolaney, General Partner at TCV. “Strava’s community and unique product offerings motivate athletes to lead healthier, more active lifestyles. In addition, Strava’s outsized growth in community membership, activities and subscribers demonstrates its importance for athletes to best fulfill their objectives.”
This financing comes after Strava made a number of features accessible only to premium users in a bid to encourage the switch to the paid accounts.
The app has more than 70 million members in 195 countries—in 2020 2 million athletes per month created Strava accounts. Strava says this financing will help the company build more features, support its global community and expand to better serve more athletes.
“Strava has spent a decade accumulating the mojo required to help people become healthier and fitter,” said Michael Moritz, partner at Sequoia, one of the major investors in the company. “In the future, being on Strava will be essential for anyone aspiring to live a healthy life.”
Although $110 million in financing is a significant chunk of money, Bloomburg reported that the company was initially seeking between $150 million and $400 million.