The round values the company at a staggering $3.8B
House-flipper Opendoor has raised another $300 million at a staggering valuation of $3.8 billion. The company has now raised a total of $1.3 billion.
Plan for the worse: With this new equity, the startup is wisely preparing for a potential housing downturn, according to SF BusinessTimes. In such a scenario, Opendoor contends that demand for its services will soar, while the likelihood of reaping quick profits on flips will decrease drastically. Very risky business model.
Investors include… General Atlantic, Hawk Equity, Softbank Vision Fund, Lennar, SV Angel, NEA, Khosla Ventures, Fifth Wall, and GV, according to TechCrunch. (SFBusinessTimes)