Pinterest has raised $225 million in a new round of funding. Fidelity Investments led this round of funding. This round of funding values Pinterest at $3.8 billion. Other investors that participated in this round include Andreessen Horowitz, FirstMark Capital, Bessemer Venture Partners and Valiant Capital Management.
Rakuten, the Japanese e-commerce company that invested $100 million in Pinterest last year, did not participate in this round. Based on Rakuten’s funding round, Pinterest was valued at $1.5 billion. This investment adds $2.3 billion in valuation from that round.
Pinterest will be using this round of funding for international expansion. The company has hired managers in Italy, England, and France. Pinterest will also be using the funding to hire more talent and enhance their technology.
Pinterest will likely acquire smaller startups in the near future. Pinterest has raised a total of $338 million. Pinterest will be heavily investing in their mobile services, which has grown 50% since the beginning of the year. Now over three-fourths of Pinterest usage is on mobile devices.
Pinterest plans to use the funding to further develop their monetization strategies such as the Sponsored Pins program to make it global.