Jawbone Said to Be Raising $300 Million at $3 Billion Valuation

Feb 14, 2014 12:01 am ET

Feb. 14 (Bloomberg) -- Jawbone, the maker of wearable Web- connected devices, is raising $300 million at a valuation of about $3 billion, two people with knowledge of the deal said.

Rizvi Traverse Management LLC, one of the biggest investors in Twitter Inc., will probably lead the financing, which is oversubscribed, said one of the people, who asked not to be identified because the round hasn’t closed.

Jawbone, based in San Francisco, is benefiting from a renewed enthusiasm for hardware as consumers snap up devices that are linked to the Internet. Nest Labs Inc., the digital- thermostat maker, was acquired by Google Inc. this month for $3.2 billion, and camera maker GoPro Inc. said last week that it’s filed for an initial public offering.

Jawbone’s UP bracelet, which competes with products from Fitbit Inc., lets users track their fitness and sleeping and eating patterns.

The financing was previously reported by the Re/code blog.

Justin Dini, a spokesman for Rizvi Traverse, declined to comment. Keely Sulprizio, a spokeswoman for Jawbone, didn’t respond to requests for comment.

--Editors: Reed Stevenson, Ari Levy