Funding will be used to support its expansion in the United States and beyond
Cloud-based file sharing service, WeTransfer, has secured $25 million worth of funding to support its global expansion.
WeTransfer, which has 70 million users, secured the funding from Highland Capital Partners Europe (HCPE), who become a minority shareholder in the business. A statement from the company highlighted the US as a key target for expansion.
According to an interview its founders gave to a newspaper, the Dutch-based company has annual revenues of $23 million, with sales doubling in the past year. The six-year old company says it has been profitable since 2009 and the deal is said to value the company at between $100-$200 million.
The company has two revenue streams – an advertising-funded free version which allows users to send files up to 2GB in size and a paid for version which allows file transfers of up to 10GB. Subscribers to the latter also receive 50GB of storage space.
“Funding isn’t something we proactively looked for, but having been approached by a significant number of investors from across the globe in the past two years, we realised there were bigger opportunities to grow as a service and a brand,” said WeTransfer founder and chief executive officer Bas Beerens.
“When HCPE approached us, we had an instant connection. In addition to supporting us with funding, HCPE will offer advice and expertise to help us achieve our goal to build on WeTransfer’s brand and offering.”