Nextdoor CEO Sarah Friar discussed the company’s plans to go public via a SPAC merger in a deal worth $4.3 billion.
Nextdoor, a social media app for neighborhoods, announced Tuesday it will go public through a reverse merger with a special purpose acquisition company in a deal valuing the firm at $4.3 billion. «It’s going to bring in a lot of proceeds, $686 million of gross proceeds, on a real blue-chip set of investors» that will help fuel expansion, Nextdoor CEO Sarah Friar told CNBC on Tuesday. The deal with special purpose acquisition company Khosla Ventures Acquisition Co II includes a private investment of $270 million from Baron Capital Group, accounts advised by T. Rowe Price Associates and Cathie Wood’s Ark Invest. On «Squawk on the Street,» Friar said San Francisco-based Nextdoor will continue expanding into new territories, which in turn generates more content for the platform. She said it will continue investing in both small businesses and in its proprietary advertising technology to support its monetization and revenue streams.
