Reddit IPO Debuts at $34/Share, Eyes Growth Despite Losses
March 20, 2024
Reddit's IPO is priced at $34 per share, valuing the company at $6.4 billion.
The IPO raised $748 million, distributing $228 million to shareholders and allocating $519 million for Reddit.
Despite a large user base, Reddit has accumulated $717 million in losses and is not yet profitable.
Funds from the IPO are intended to help Reddit expand and increase its revenue.
Reddit will trade on the NYSE under the ticker 'RDDT', with some shares reserved for platform users.
Investors are advised to consider post-IPO share price volatility and await first quarter results before investing.
Summary based on 20 sources
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Sources
The New York Times • Mar 20, 2024
Reddit Said to Price I.P.O. at $34 a Share, in a Positive Sign for Tech
The Guardian • Mar 20, 2024
First it was Facebook, then Twitter. Is Reddit about to become rubbish too? | Hussein Kesvani
Insider • Mar 20, 2024
Reddit's IPO is set to make the 'front page of the internet' public