Poolside is raising over $400 million at a $2 billion valuation to develop a highly advanced coding co-pilot

In a move set to bolster Paris’s standing as a prominent hub for AI startups in Europe, Poolside.ai, a company specializing in generative AI for accelerating software development, is reportedly in the process of raising over $400 million. This funding round would value Poolside at approximately $2 billion post-money, according to sources familiar with the matter.

Bain Capital Ventures (BCV) and DST are reportedly negotiating to co-lead the financing round. BCV, which has previously backed Poolside, and DST, a new investor, are pivotal in these discussions. PitchBook estimates the round to be around $450 million, with Bain’s involvement already noted in previous reports.

Last August, Poolside.ai garnered attention by securing $126 million in a substantial seed funding round. Investors included BCV, alongside early-stage specialists Air Street (based in London), Abstraction, Scribble Ventures, and local French firms New Wave and Frst. The round also saw participation from Bpifrance, Felicis Ventures, Point Nine, and Redpoint Ventures. None of the involved investors responded to requests for comment, and Poolside’s CEO has not provided a statement.

Paris has witnessed a surge in AI startups attracting significant investments, exemplified by other companies like Mistral and H, which raised $113 million and $220 million respectively in seed funding. This trend underscores Paris’s growing reputation as a pivotal center for AI innovation in Europe, potentially solidifying its moniker as the “City of AI.”