Fidelity Writes Down Value of Snapchat Holding by 25%
- Snapchat raised $1.2 billion to date at $16 billion valuation
- Dropbox investment also slipped in value earlier this year
Snapchat's Value Cut by 25% in Fidelity Write Down
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Snapchat Inc.’s valuation was cut by a quarter by one of its biggest backers, the latest evidence that private technology companies are losing some of their luster.
Fidelity, a fund manager which invested in the creator of the mobile app for sending disappearing photos and videos, marked down its stake in Snapchat by 25 percent to $34.5 million in the third quarter, according to data from Morningstar on Tuesday. Snapchat had raised cash from investors at a $16 billion valuation earlier this year, a person familiar with the matter said in May, bringing its total fundraising to $1.2 billion. The Financial Times earlier reported Fidelity’s writedown.