Confirmed: Redpoint Leads $40M Funding Round for Path

Path, the mobile social networking start-up, is planning to announce it has raised Series B funding as early as tomorrow, according to sources.

Redpoint Ventures led the $40 million round, which values Path at $250 million.

Path CEO Dave Morin

That Path was fundraising was not a secret, and Business Insider had already reported that Redpoint would lead the round.

Path CEO Dave Morin said in February that the app had two million registered users. It was rejuvenated after a successful redesign late last year to become a personal journaling app, with ways to share travel, sleep, photos, locations and workouts through a Nike partnership.

Path is often mentioned as a buyout target, but Instagram is the app Facebook scooped up for $1 billion last week. Instagram, which is all about sharing photos, closed a $50 million round of funding just before it got bought that valued it at $500 million.

Path’s last funding was $8.65 million from $8.65 million from Kleiner Perkins Caufield & Byers, Index Ventures and Digital Garage Japan at the beginning of 2011.

Morin did not reply to requests for comment.