Distrokid is a unicorn. The US-based DIY distribution platform recently confirmed that it has accepted an investment from Insight Partners which values it at $1.3 billion.
Silversmith Capital Partners, a Boston-based growth equity firm that led Distrokid’s first outside investment in 2018, will retain “a meaningful ownership position” and remain on Distrokid’s board. Spotify also retains its minority stake in the distributor.
“My goal since founding Distrokid was to build great things for musicians. Our growth has been wild, but the mission hasn’t changed.” said company’s founder and CEO, Philip Kaplan.
— DistroKid (@DistroKid) July 2, 2021
In another important update, Distrokid confirmed that it now has more than 2 million artists on its platform using “the tools and services that it provides”. The company estimates that it distributes more than a third of all new music globally, distributing over a million tracks to digital services each month. The $1.3 billion valuation puts Distrokid in the billion-dollar-plus distribution club alongside the likes of Believe – owner of TuneCore – which currently carries a public market cap of €1.64 billion ($1.93 billion).