O’Melveny Advises Strava on US$110 Million Financing Led by TCV and SequoiaNovember 16, 2020
FOR IMMEDIATE RELEASE
SILICON VALLEY—November 16, 2020—O’Melveny represented Strava, the leading social platform for athletes, in its $110 million 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.
With more than 70 million members in 195 countries, Strava is the largest sports community in the world. Over the last year, Strava has seen rapid growth, adding more than 2 million athletes a month. This latest round of financing will help the company enhance its platform to better serve more athletes.
The O’Melveny team was led by Warren Lazarow, co-chair of the firm’s Corporate Department, and David Makarechian, chair of O’Melveny’s Emerging Technologies Group. The team also included partner Robert Fisher, senior counsel Warren Fox, counsel Melissa Wright, and associate AJ Talt.
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The following release was issued by Strava:
STRAVA ANNOUNCES $110 MILLION FINANCING IN PARTNERSHIP WITH TCV AND SEQUOIA
Strava will use funds to enhance the athlete experience and ongoing support of its global community
SAN FRANCISCO, Nov. 16, 2020 /PRNewswire/ -- Strava, the leading social platform for athletes, today announced that 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.
Strava is the largest sports community in the world with more than 70 million members in 195 countries. This financing will help the company build more features that athletes love, support its global community and expand to better serve more athletes.
“We're excited to partner with TCV and Sequoia. Together we're building for athletes,” said Strava co-founder and CEO, Michael Horvath. “Today that means making Strava indispensable to athletes everywhere. When we do that well, we connect athletes to what motivates them, fuel the growth of our community, and strengthen our business. The experiences of Michael Moritz at Sequoia and Neil Tolaney at TCV with companies at Strava's stage and beyond will be invaluable as we strive to enable athletes worldwide to get the most out of their active lives.”
In 2020, Strava has seen rapid growth, adding more than 2 million athletes per month to its community. Additionally, the company rolled out over 60 new features for athletes as part of a renewed commitment to subscribers and made Strava Metro free for urban planners and city governments. Strava Metro's aggregate data helps over 300 city governments and urban planners create safer cities for pedestrians and cyclists.
“Strava has spent a decade accumulating the mojo required to help people become healthier and fitter,” said Michael Moritz, Partner at Sequoia. “In the future, being on Strava will be essential for anyone aspiring to live a healthy life.”
Strava gives anyone, anywhere access to an athletic community. Staying motivated is the oldest and biggest problem in health and fitness, but Strava has tapped into the magic ingredient to keep people moving: human connection. Strava enables motivation through competition, camaraderie and accountability. It's a formula that works – 94% of Strava subscribers who set a goal remain active nine months later.
“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.”
For more information about Strava, or to join its global community of 70 million athletes, please visit Strava.com.
J.P. Morgan served as sole placement agent for Strava in connection with the transaction and O'Melveny & Myers LLP provided legal counsel to Strava.
Andrew Vontz, VP Communications at Strava, email@example.com
Strava is the leading social platform for athletes and the largest sports community in the world, with over 70 million athletes in 195 countries. If you sweat you're an athlete, and Strava's mobile apps and website connect millions of active people every day. Strava gives athletes simple, fun ways to stay motivated and compete against themselves and others without having to be in the same place at the same time. All athletes belong on Strava no matter where they live, which sport they love or what device they use. Join the community and make the most of your sport with a Strava subscription.
Founded in 1995, TCV provides capital to growth-stage private and public companies in the technology industry. Since its inception, TCV has invested over $14 billion in leading technology companies and has helped guide CEOs through more than 125 IPOs and strategic acquisitions.TCV investments in consumer subscription companies include Airbnb, Dollar Shave Club, EA, Expedia, Facebook, LegalZoom, Netflix, Peloton, Spotify, Zillow, and more. TCV is headquartered in Menlo Park, California, with offices in New York and London. For more information about TCV, including a complete list of TCV investments, visit https://www.tcv.com/.
Sequoia helps daring founders build legendary companies from idea to IPO and beyond. We spur founders to push the boundaries of what's possible. In partnering with Sequoia, companies benefit from 48 years of tribal knowledge from working with founders like Steve Jobs, Larry Ellison, Larry Page, Jan Koum, Brian Chesky, Drew Houston, Adi Tatarko, Julia Hartz and Jack Dorsey. In aggregate, Sequoia-backed companies account for more than 20% of NASDAQ's total value. From the beginning, the vast majority of money we invest has been on behalf of non-profits and schools like the Ford Foundation, Mayo Clinic and MIT, which means founders' accomplishments make a meaningful difference.
About Dragoneer Investment Group
Dragoneer is a San Francisco-based, growth-oriented investment firm with approximately $12 billion in long-duration capital from many of the world's leading endowments, foundations, sovereign wealth funds, and family offices. Dragoneer has a history of partnering with management teams growing exceptional companies characterized by sustainable differentiation and superior economic models. The firm's track record includes public and private investments across industries and geographies, with a particular focus on technology-enabled businesses. Dragoneer has been an investor in companies such as Airbnb, AmWINS, Ant Financial, ByteDance, Datadog, DoorDash, Farfetch, Livongo, Nubank, PointClickCare, ServiceNow, Slack, Spotify, Square, Twilio, Uber, Snowflake and others.
About Jackson Square Ventures
Jackson Square Ventures is the anti-hype venture capital firm focused on SaaS and Marketplace businesses that can be standalone at scale. Its portfolio includes Alto Pharmacy, Cornershop, DocuSign, Mynd, Jackbox Games, Seismic, Strava, and Upwork, among others.
About Go4it Capital
Go4it Capital partners with exceptional entrepreneurs, who are building innovative global businesses in sports, digital media and well-being. Together, their dream is to create a more active and enjoyable world. Go4it has also invested in ELEVEN Sports, WSC Sports, Fazenda Futuro, and G2 Esports.