Online chat service Slack announced early on Tuesday that it is adding even more to its valuation in its most recent series of equity financing. An additional $427 million of investment will give Slack a valuation of just over $7.1 billion.
This Series H equity round is in addition to the $841 million previously raised. The lead investors are Dragoneer Investment Group and General Atlantic, joined by funds and accounts advised by T. Rowe Price Associates and funds advised by Wellington Management, and Baillie Gifford and Sands Capital, as well as existing investors.
The firm is looking to use this investment to give it even more flexibility with its growing business. Even with its rapid growth in just four years — Slack now has more than 8 million daily active users and more than 70,000 paid teams.
In a blog post, the company said:
The way people work is changing, and we are committed to delivering the best product and experience for our customers in this new era. We pursued this additional investment to give us even more resources and flexibility to better serve our customers, evolve our business, and take advantage of the massive opportunity in front of us… There is still enormous potential to change the way that people and organizations collaborate and work together.