Snapdocs’ latest fundraising boosts its valuation over $1 billion

Snapdocs announced on Tuesday that it raised $150 million in Series D funding. Tiger Global led the fundraise, in conjunction with Sequoia Capital, Y Combinator, F-Prime, Maverick, Alkeon, and Wellington Management. The cloud-based connector platform for digital closings secured $60 million in its Series C round in October 2020 and pooled $25 million from its Series B in November 2019.

All told, investments in Snapdocs total $260 million and the company’s valuation grew to about $1.5 billion with the newest round of capital. The company estimates a 20% involvement of all U.S. real estate deals, worth over $60 billion in mortgage on a monthly basis since wrapping up its Series C.

"Our hypothesis is that the industry has been missing critical digital infrastructure to bring these components together to work at scale," Aaron King, founder and CEO of Snapdocs, said in a statement to National Mortgage News. "We will continue building integrations to the core systems that the multitude of parties in a closing use already — and we’ll enhance those systems so that when any participant plugs into Snapdocs, their closing process simply sings."

The new funding will go toward Snapdocs’ mission of defragmenting the industry and forming a cohesive system of technologies — a mission it set out with at inception in 2013. Large fundraises potentially signal capitalization for an initial public offering, a rising trend in the industry. Only time and clear client benefit will dictate if Snapdocs goes that route as well.

“Literally everything we do is focused through the lens of adding value to our customers and the industry," King said. "There may be a point where the benefits of being public help us serve the industry better, but until then, it is not a focus.”