Lovable Doubles Down: Swedish AI Startup Eyes $13.2B Valuation in New Funding Round

Lovable, a Stockholm-based startup specializing in AI-powered software creation, is on track to see its valuation reach $13.2 billion—double what it commanded just eight months ago—with a planned $300 million fundraising round, according to reporting from Sifted.

A Year of Explosive Growth#

The company's trajectory has been striking. Having achieved a $6.6 billion valuation in December 2025, Lovable is now preparing to announce a valuation that represents a stunning doubling in less than a year. The timing reflects the company's recent milestone: crossing into $500 million in annualized revenue run rate as of June.

The Lead Investor#

Menlo Ventures, which closed a $3 billion fund in June, is poised to anchor the investment, according to the report.

How Lovable Works#

The platform enables users to build applications and digital storefronts by simply describing what they want—no traditional coding required. Its user base spans individual creators, designers, and salespeople on one end, and extends to major enterprises including Workday, Asana, and Nvidia on the other.

Vibe-Coding's Rising Dominance#

Lovable's ascent underscores how completely vibe-coding—the practice of building software through natural language prompts—has emerged as the highest-impact and most profitable application of AI today. The category has attracted elite investors and entrepreneurs. Competitors in the space include Replit, valued at $9 billion as of March, Factory (which secured $150 million at a $1.5 billion valuation in April for enterprise-focused AI agent development), and Cursor, which was acquired by SpaceX for $60 billion in stock last month.