Turkey-based HubX, which specializes in developing AI-powered web and mobile products, announced that it had secured an investment of up to $75 million from Point72 Private Investments in a deal that raised the company’s pre-money valuation to $1.2 billion. HubX has thereby joined the category of startups with billion-dollar valuations, known as unicorns.
The investment represents the first external funding HubX has received since its founding in Izmir in 2022. According to data published by the company, it has built a portfolio of more than 40 mobile and web applications without relying on external funding, while its applications have reached more than 600 million users in over 190 countries. The company operates from its two offices in Izmir and Istanbul, and its team includes more than 370 employees.
A multi-product platform instead of a single application
HubX’s portfolio includes products in generative artificial intelligence, photography and video, education, and wellness. The applications mentioned by the company include Nova, Wiser, DaVinci, and Lotus Flow. The company relies on a centralized structure encompassing product development, artificial intelligence, data analytics, and global marketing, with the goal of taking products from the idea stage to a global scale.
This structure indicates that HubX does not treat each application as a completely separate project. Instead, it uses shared development, data, and distribution capabilities to build a portfolio of digital consumer products. As for the figures related to users and application reach, they are data provided by the company itself.
Where will the investment money go?
HubX identified two main uses for the funding. The first is accelerating the growth of its existing products and increasing its investments in technical infrastructure and artificial intelligence. The second is expanding its global mergers and acquisitions activity.
The company aims to acquire mobile and web applications with strong user experiences and solid performance indicators, along with teams focused on product development and promising technology companies. Under its plan, the acquired products and teams will benefit from HubX’s technical infrastructure, product development expertise, artificial intelligence and data analytics capabilities, and global marketing, while seeking to preserve the product identity and entrepreneurial approach of the joining teams.
Why does this funding matter?
The importance of the deal lies in the fact that it provides a company that built a broad portfolio of applications through organic growth with institutional capital for the first time, at a pre-money valuation of $1.2 billion. It also reveals a clear intention to use the funding not only to improve existing products, but also to acquire new products and teams and expand HubX’s multi-product model globally.
Co-founder Cem Ortabaş said that the company would continue developing products internally while also attracting successful teams to its ecosystem. Co-founder Kaan Ortabaş explained that HubX had reached this scale within four years while maintaining profitability, without the source providing financial details supporting this description or specifying the final terms of the investment.
Ishan Sinha, a partner at Point72 Private Investments, said that HubX’s ability to identify consumer demand, develop, distribute, and rapidly scale products, together with the performance of its portfolio and the scalability of its model across multiple products, were among the factors supporting the investment decision.