Canva, the Australian graphic design platform, recently expanded its investor base. Street Talk disclosed that San Francisco’s ICONIQ Capital and Coatue Management, a tech sector investment manager from the US, have acquired shares from existing Canva investors. This places Canva’s valuation at $US25.5 billion.

Investor Details

ICONIQ Capital counts individuals like Mark Zuckerberg, Meta’s chief executive, and Twitter founder, Jack Dorsey, among its investors. Coatue Management has previously backed Afterpay and operates under Philippe Laffont.

Internal Communications at Canva

An email from Canva’s management to its team shared the company’s intent for an upcoming “broader staff secondary transaction.” The plan for this secondary transaction is expected to commence within the next six months.

Valuation Adjustments

After Canva’s external funding round in September 2021, its valuation stood at $US40 billion. However, a valuation adjustment occurred last year, bringing it to $US25.6 billion. This was influenced by local venture capital firms and US investors re-evaluating tech entities. In this context, Blackbird Ventures adjusted its valuation of Canva by $US14.4 billion in 2021 after modifying its valuation approach.

Position of Local Investors

Blackbird and AirTree Ventures, despite the valuation shifts, maintain their positions from their investments in 2021, made when Canva was valued at $US40 billion.

Super Funds and Valuations

Blackbird Ventures’ recent secondary sale of Canva stock has yielded returns for super funds, including Hostplus. Rick Baker, Blackbird’s partner, emphasized the necessity for transparent and market-based valuations, especially with superannuation funds that involve a large Australian demographic.

Secondary sales, like the one executed by Blackbird Ventures, indicate possible outcomes for Australian investors if Canva transitions to a public entity.

Future Path for Canva

Blackbird, post this sale, continues to hold a majority of its Canva stake, and is a significant investor in the company.

Additionally, Canva has plans to allow its staff to liquidate a portion of their company shares in the foreseeable future, a detail shared in an internal communication.

Cliff Obrecht, co-founder of Canva, refrained from discussing the share sale details and potential IPO directions but mentioned a possible listing on the Nasdaq.