legal-document-to-plain-english-translator/”>Try Free Now: Legalese tool without registration

Find a LOCAL lawyer

Reddit Inc.’s Potential $6.5 Billion Valuation in IPO

(Bloomberg) — Reddit Inc. is reportedly aiming for a valuation of up to $6.5 billion in its upcoming initial public offering, as per a source familiar with the matter.

Valuation Details

The social media giant is said to be looking at a price range of $31 to $34 per share for its first-time share sale, the source disclosed on the condition of anonymity due to the sensitive nature of the information.

Given this price range, Reddit could potentially achieve a fully diluted value of approximately $6 billion to $6.5 billion, the source added.

Underwriters and Offer Details

Leading the offering are prestigious financial institutions such as Morgan Stanley, Goldman Sachs Group Inc., JPMorgan Chase & Co., and Bank of America Corp., as per Reddit’s filings with the US Securities and Exchange Commission.

While the specifics of the offering, including its size and timing, are subject to change, as per the source. Representatives from the aforementioned institutions have opted not to provide any comments.

Previous Reports and Valuation Forecasts

In early discussions with potential IPO investors, Reddit had received feedback suggesting a minimum valuation of $5 billion. The company had initially aimed for a valuation in the mid-single-digit-billions, based on sources from earlier reports.

These valuation figures mark a departure from the lofty valuations witnessed during the technology industry’s pandemic-era peak. In 2021, Reddit secured funds that valued the company at $10 billion, with speculations suggesting a possible $15 billion valuation in an IPO the following year, according to reports by Bloomberg News.

Trading Plans

Reddit intends for its shares to trade on the New York Stock Exchange under the symbol RDDT.

AI legalese decoder

The AI legalese decoder can assist in deciphering and simplifying complex legal jargon and regulatory language present in Reddit’s IPO filings and disclosures. By leveraging this technology, investors and stakeholders can gain a clearer understanding of the terms and conditions associated with Reddit’s public offering, enabling informed decision-making.

–With assistance from Tom Giles and Amy Or.

Most Read from Bloomberg Businessweek

┬®2024 Bloomberg L.P.

legal-document-to-plain-english-translator/”>Try Free Now: Legalese tool without registration

Find a LOCAL lawyer

Reference link