Cheddar, a future of tv startup, which bills itself as a “post-cable” financial news network for millennials, announced $19 million in third-round of financing led by Raine Ventures, along with strategic investors including AT&T, Amazon, Altice USA, the New York Stock Exchange, and Lorne Michaels’ Broadway Video.
With this round, the New York-based company has raised $32.1 million to date, with a valuation of $85 million. Cheddar’s existing investors — Comcast Ventures, Lightspeed Venture Partners and Ribbit Capital — also participated in the Series C round. Gordon Rubenstein, managing partner of Raine Ventures, has joined Cheddar’s board.
The company has marketing deals and sponsored shows with clients including Fidelity Investments, HP, Dunkin’ Donuts, and Ally, and has launched an MBA program with Strayer University.
Cheddar broadcasts live eight hours a day from the New York Stock Exchange’s trading floor and the corner of the Flatiron Building in the Sprint Store in Manhattan; the White House lawn and briefing room in Washington, D.C.; and at locations across the world. In the third quarter of 2017, the company plans to begin broadcasting from Los Angeles.
As reported by Variety
Reach: Eight percent of all U.S. millennials have seen a piece of Cheddar content (90% of them within the past month), according to data compiled for the company by research firm Market Strategies International (which also does audience analytics for Cheddar rival CNBC). The figure was even higher in the 18-24 piece of that 18-34 year-old demographic, leading Steinberg to believe that the content is particularly penetrating on college campuses.
Distribution: Cheddar is available on all sorts of platforms, including Twitter, Facebook and its own apps, but Steinberg is partial to Sling, where his content sits next to CNN and Bloomberg TV. “We’re positioned like a cable news network there… and those are our most engaged viewers.” He also says that Cheddar ― which currently offers three of its eight daily hours for free ― either has signed contracts or is in discussions with every “skinny bundle” in the U.S., with expectations to launch in almost all of them by the end of Q1 2018.
Revenue: The company expects to do $1 million in June revenue, at which point it also would hit profitability. The new fundraising is basically about stockpiling cash, although there will be some new capital expenditures (each new studio costs between $700k-$900k). “It’s not bad to have a bank balance.”
According to Axios