TikTok rival Triller is reportedly exploring to go public through a SPAC deal worth at least $1.25 billion valuation
We wrote about Triller back in July after the TikTok rival hit 50 million monthly active users surpassing what TikTok was when it sold to ByteDance for $1 billion. Triller has since grown to 100 million monthly active users since our last story three months ago. Triller’s rise is partly attributed to a series of setbacks suffered by TikTok after the Chinese app was banned by governments around the world due to national security concerns.
Now in an exclusive report from Reuters, Triller is reportedly in discussions with blank-check acquisition companies about a merger that would take the U.S. social media company public, according to people familiar with the matter.
Founded in Jul 2015 by David Leiberman and Sammy Rubin, Triller’s AI-powered music video app and talent discovery platform allows users to create professional-looking videos in a matter of seconds. Pick a song, select the portion of the song you want to use, snap a few takes, and with the tap of a button you have a celebrity-quality music video starring you and your friends.
Triller has solely relied on organic growth and has more than 23 million downloads, with celebrities from Kevin Hart to Vanessa Hudgens regularly using the app to create their own music videos. Triller raised a $4.5M seed round in May 2016 and a $5M Series A funding round in February 2018, with plans to expand its AI technology and develop the brand as a talent discovery platform.
According to Reuters, Triller is working with investment bank Farvahar Partners as it negotiates a potential deal with a so-called special purpose acquisition company (SPAC), the sources said. A SPAC is a shell company that raises money in an initial public offering (IPO) to merge with a privately held company which then becomes publicly traded as a result.
Triller has so far secured around $100 million in that round at a $1.25 billion valuation, according to the sources. It is deliberating whether to proceed with the private fundraising or opt for the deal with a SPAC, one of the sources added. Triller has neither confirmed nor denied the news.