Snapchat in process of raising new money, values company at up to $16B: Sources

Snapchat app on a mobile phone
Andrew Harrer | Bloomberg | Getty Images

Snapchat is in the process of raising $650 million in equity, which would value the company at 16 billion, sources told CNBC.

The social media messaging service has $112 million in stock earmarked for a later sale.

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Snapchat's new investors include Alibaba, Fidelity, York Capital, and Glade Brook Capital.

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CNBC's Kayla Tausche contributed to this report.