Tencent leads $51mn investment in Canadian start-up Wattpad

WP Technology, branded as Wattpad, a Canadian start-up providing a “story-sharing platform” has closed a $51mn funding round led by Chinese tech investment giant Tencent Holdings.

The funding round brought the company’s value to $400mn according to reports, and the proceeds will be used to expand Wattpad’s global entertainment effort, increase machine-learning activities and hire more staff.

See also:

Tencent to be part of China’s National AI Team

Lego partners with Tencent

Beijing vegetable selling start-up valued at $2.8bn

Apart fron Tencent, other investors included the Business Development Bank of Canada, Kickstart Ventures (a subsidiary of Globe Telecom based in the Philippines), Peterson Group (a private enterprise company based in Hong Kong) and existing investor Raine Ventures (an early-stage fund of the Taine Group, based in the US).

Wattpad currently has 65mn users who can “write and share stories from around the world”. So far it has raised $118mn in funding from investors in Canada, the US and Asia.

CEO Allen Lau said in a statement: “Entertainment is in a period of disruption, and how people find and experience stories is evolving. This new funding from Tencent and our other investors shows that confidence in out vision is growing alongside our revenue, our success and our community.”

Tencent has invested in other Canadian companies over the past year including being part of a $102mn funding round for Montreal based Element AI, and a $28mn investment in Kindred Systems, an AI robot manufacturing start-up from Toronto. In 2015 it invested in Canadian instant messaging start-up, Kik.


Featured Articles

How India is bucking the global dealmaking downturn

M&A deal volume and value reach record highs in India in 2022, despite slower dealmaking globally – as scope activity and acquisitions in renewables surge

Create C-suite space for the Chief Transformation Officer

Responsible for driving growth and change, the Chief Transformation Officer is the latest addition to the C-suite as business undergoes major change

12 AI predictions for the enterprise in 2023 – Dataiku

With 2023 likely to be a huge year for AI, experts from AI platform provider Dataiku deliver their enterprise AI and ML trends for the year ahead

Welcome to the new breed of private members' clubs

Leadership & Strategy

Welcome to the New Age of the CISO

Leadership & Strategy

Making the UAE the world’s strongest digital fortress