Coatue and General Catalyst back Figma in a deal valued at $12.5 billion

(Bloomberg) — An investor group that includes Coatue Management, Alkeon Capital Management and General Catalyst Partners has invested in Figma Inc. in a deal that values ​​the design startup at $12.5 billion, people familiar with the matter said.

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The deal comes as the San Francisco-based company generates more than $700 million in annual recurring revenue, a figure that is expected to surpass $1 billion next year, said one of the people, who asked not to be identified because the information is not public. Annual recurring revenue was about $400 million at the end of 2022.

Figma, led by CEO Dylan Field, launched new artificial intelligence features and a visual storytelling tool called Figma Slides in June. The company is widely seen as a possible IPO candidate after a planned merger with Adobe Inc. fell through late last year.

The transaction, which was a secondary stock sale, has been completed, a Figma spokesperson said, but declined to comment on the identity of specific investors and the company’s revenue. The secondary stock sale, also known as a tender offer, involved current and former employees and other shareholders.

A representative for Coatue declined to comment. Alkeon and General Catalyst did not immediately respond to requests for comment.

According to the Figma spokesperson, other investors involved include hedge fund SurgoCap Partners, Atlassian Corp., Fidelity Management & Research Co., Franklin Templeton’s Franklin Venture Partners, Iconiq, Sequoia Capital, Thrive Capital, Greenoaks Capital Partners, Durable Capital Partners, Andreessen Horowitz, Kleiner Perkins, Apple Inc. manager Eddy Cue, Goanna Capital and XN.

(Updated with details of the Adobe deal in the third paragraph. Earlier versions of this story corrected the spelling of Figma CEO’s name in the third paragraph and investor XN’s name in the last paragraph.)

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