Preply, a language learning marketplace, has reached a $1.2 billion valuation following a $150 million Series D investment. This funding opens a new phase for the 14-year-old company, which counts Horizon Capital, Hoxton Ventures, Owl Ventures and Techstars Berlin among its existing investors.

Although Preply has linked language learners with tutors since 2013, the company has now been EBITDA profitable for a full year. This milestone aligns with its increased focus on integrating artificial intelligence to assist its network of 100,000 tutors and support further growth.

Navigating this AI expansion requires careful balance, as demonstrated when Duolingo faced criticism for announcing an "AI-first" strategy. Tutors remain Preply's core advantage, and the company insists it will not replace them. Instead, AI aims to add consistency to a business model built on independent instructors.

According to CEO Kirill Bigai, AI is already deployed for generating lesson summaries and homework, as well as for optimally matching students with tutors. To advance these features, Preply is recruiting AI specialists across all its offices in Barcelona, London, New York, and Kyiv.

The company has maintained its operations in Kyiv despite the ongoing war following Russia’s invasion. Although headquartered in the U.S., where it was first founded, Preply’s leadership is Ukrainian and the firm has actively supported the country throughout the conflict.

“We are very committed to the Ukrainian office,” Bigai stated. Of Preply’s 750 employees, about 150 work from Kyiv, where regular air raids and power outages have made the freezing winter especially difficult.

“Our office has different generators so we have electricity, Internet, and the office is warm and it’s open 24/7 so any Ukrainian team member can come to the office at any time,” he explained. Bigai expressed deep gratitude and admiration for his team’s perseverance under extreme conditions.

“Ukrainians are going through very challenging times, and it builds a significant resilience and creativity,” he said. He believes the shared experience of the war has fundamentally strengthened the company. “I think the fact that the company went through this experience—and how so many people helped other people—made us stronger, more resilient, more creative.”

With this latest capital raise, Preply joins other unicorns with Ukrainian origins, such as Fintech-IT Group and Grammarly. The Series D was led by WestCap, the growth equity firm of former Airbnb CFO Laurence Tosi, which may signal a future path toward public markets.

While Bigai confirmed there is no specific timeline or concrete plan for an IPO yet, he acknowledged WestCap’s “phenomenal experience in taking companies public, which is one of the things that we will continue to think about.”