Reddit Aims For Valuation Up To $6.4B In IPO, Pricing Shares At $31 To $34

deadline.com:

Reddit is targeting a valuation of up to $6.4 billion as it gets for its initial public offering. The number is below the $10 billion level achieved by the company during a 2021 fundraising round, with the disparity reflecting increased expectations for tech company profitability.

The IPO would raise $748 million at the top of the price range, and only a small handful of companies have gone public in the U.S.

this year in that lofty valuation range, which will make the offering a closely watched test of the market. At the midpoint of the range, on a net basis, the public listing will bring in about $451 million, the company estimated in an SEC filing.

Similar companies are worth quite a bit more than Reddit, a text-oriented, message-board-based social media firm. Facebook and Instagram parent Meta Platforms has a market value of almost $1.3 trillion, while Snap Inc.