Cameo Valuation Plunges at Least 90% in ‘Cramdown’ Funding Round

Cameo authorized a $28 million round of funding last week that will drastically reduce its valuation, the company told shareholders, reflecting a big slowdown in the celebrity video shoutout app’s business.

The funding, led by existing investor Valor Equity Partners, would value the company at less than $100 million, measured after the investment, an investor said. That would represent at least a 90% drop from its previous value. Its $1 billion peak valuation dates back to a funding round in March 2021, after its platform for personalized videos from athletes and actors took off during the pandemic.