Reddit aiming for $6.5bn valuation from New York flotation
Reddit plans IPO aiming for $6.5 billion valuation, offering shares to eligible users.
- Bilawal Riaz
- 1 min read
Reddit is set to go public with an initial public offering (IPO) on the New York Stock Exchange, aiming for a valuation of $6.5 billion. The company plans to raise $748 million by selling 22 million shares priced between $31 and $34 each. This would be the largest social media IPO in four years. Reddit, known as “the front page of the internet,” will offer 8% of its IPO shares to eligible users and moderators. Users who meet specific criteria can potentially participate in the share program. The company reported 100,000 active communities and 1 billion posts as of December 2023. Reddit’s co-founder highlighted that the IPO would allow users to become investors and provide liquidity to employees. The company also set aside stock for community-related programs. Despite reporting a loss of $90.8 million in 2023, down from $158.6 million the year before, Reddit sees growth opportunities in advertising and data licensing.