Snap Purchases Digital Mapping Company StreetCred

Snap will take on four of the company's team members, including co-founder Randy Meech and Diana Shkolnikov.
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Snapchat parent company Snap Inc  (SNAP) - Get Report confirmed Monday afternoon it had purchased StreetCred, a New York City-based location data startup. 

The acquisition, terms of which were not disclosed, will result in four StreetCred team members, including co-founders Randy Meech and Diana Shkolnikov, joining Snap, where they will work on map and location-related products, Snap confirmed to TechCrunch. 

The biggest project the foursome will work on will be the strategy of the Snap Map, which allows users to view public snaps from a given area and to share their location with followers. 

Snap Map was added to the Snapchat platform's main navigation bar last summer ,and the company said last July that the product was reaching 200 million users per month. 

Meech was formerly at Samsung's open mapping subsidiary Mapzen, and before that worked at AOL. Shkolnikov was the former engineering director at Mapzen. 

Snap shares rose 3.2% to $54.41 on Monday. 

Last month, shares shot up after analysts at Goldman Sachs boosted their price target by $23 to a Wall Street-high of $70 per share, citing "a number of tech innovations and product partnerships" that could accelerate revenue growth beyond Street forecasts.

Snap itself declined to provide current-quarter revenue guidance when it published Street-beating third quarter earnings on October 20, owing to the broader pandemic uncertainty, but noted that "year-over-year revenue growth of 47% to 50% is attainable" if holiday-season advertising holds to previous trends.

"Snap's Spotlight product, new ad campaign objectives and bid types, and the Unity partnership, particularly Unity Ads' inclusion into the Snap Audience Network (SAN) have the potential to drive further momentum in engagement growth as well as provide valuable scale to advertisers," the Goldman Sachs note said.