If the Snapchat bubble was going to explode, it doesn’t sound like that’s going to happen anytime soon. AllThingsD is reporting that it’s close to snapping up “hundreds of millions” of dollars in fresh funding that values the ephemeral photo sharing app at up to $3.6 billion.
As AllThingsD warns, the deal could fall apart, but the news is “well known” around several Silicon Valley VC firms. The new investor hasn’t been identified, but it’s likely from an Asian company. One firm the website mentions is Tencent, a Chinese company that makes money from in-app transactions. That could be one method Snapchat uses as it figures out how to monetize.
Snapchat’s latest round of funding came in June when it collected $60 million dollar Series B round of venture funding. Then, the app was valued at $800 million. And similar to unprofitable Pinterest, which raked in $225 million at a nearly $4 billion valuation this week, investors are looking to jump in before they explode.
That does not seem to have stopped a panoply of venture and other investors from jumping in and ponying up with huge amounts of cash for the privilege of investing in several fast-growing startup, hoping to grab ahold of the next Twitter or Facebook early.
Snapchat did not immediately return our request for comment.