The world of startups can be a very strange place.
In a letter to investors it was announced that founder is returning as CEO to the beleaguered startup and raising a fresh $450 million at a $14 billion valuation from investors in the United Arab Emirates and the U.K., .
The valuation is quite the turnaround for Bolt, which earlier this year offered investors a program that valued the company at a mere $300 million.
Bolt was one of the golden children of the go-go venture days of 2020-21. The company raised $355 million led by in 2021 that valued the one-click online checkout startup at $11 billion as it rode the pandemic-fueled euphoria for online retail.
However, things quickly turned for the San Francisco-based startup as lawsuits, money-related infighting and more brought unwanted headlines. In early 2022, Breslow left as CEO after a tirade in which he trashed and . The company then announced layoffs 鈥� just six months after being valued at $11 billion 鈥� and has undergone at least three rounds of layoffs since then.
The startup also was by for its botched integration with retail chain , claiming the retailer lost more than $150 million in online sales as a result.
The company also has seen a litany of board changes and , and earlier this year former CEO .
More bad blood?
That infighting may not be over.
Per the new report, the new capital being raised demands previous investors buy into the new round 鈥渋n a proportion that is double their existing percentage stake,鈥� or their stock will lose its preferred status and many shares may be bought back for about a penny.
That may roil some older investors, especially considering the company wanted to buy shares back at a $300 million valuation just months ago and now wants investors to dole out more cash at a $14 billion valuation.
Bolt already has raised nearly $1 billion from investors that include and .
If Bolt鈥檚 history has shown us anything, it is that more investor squabbles and infighting are forthcoming.
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