Sequoia, Wellington in talks to back Kalshi at $40 billion valuation

Kalshi is in advanced talks with Sequoia Capital and Wellington Management on a funding round of at least $750 million that would value the prediction market platform at $40 billion, The Information reported, citing people familiar with the matter. Wellington would be a first-time investor if the deal goes through, while Sequoia is already an investor in Kalshi. The proposed valuation would mark a sharp increase from the $22 billion level at which Kalshi raised $1 billion in May. Kalshi's annualized revenue reportedly reached $4 billion in July, with sports contracts accounting for about 80% of activity and the company holding roughly 95% share of the U.S. prediction market. Kalshi is considering a public listing in 2027, and the new financing could support expansion and IPO preparations. Rival Polymarket is also seeking funding at about a $20 billion valuation, underscoring continued investor appetite for the prediction market sector.

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