Reddit on Wednesday announced that it has confidentially submitted a draft registration statement with the Securities and Exchange Commission to go public. The social media company did not make the filing publicly available. The company also did not say how many shares would be offered nor the price range for the proposed offering.
Although Reddit was created in 2005, it has taken a unique road toward going public. Later the Conde Nast Publications acquired Reddit in 2006. The social media services remained a part of the publishing company until it was made an independent subsidiary in 2011. Since then, it raised a series of funding rounds from venture capital firms.
Most recently, the company announced that it had raised a $700 million round in August 2021 at a valuation of more than $10 billion. At the time of that funding round, the company said that it had reached $100 million in advertising revenue during the second quarter of 2021, up 192% from a year prior. Reddit has been looking to build on the attention it gained when at the start of the year its WallStreetBets forum became a hot spot for the individual investors who rallied around GameStop Corp. GME, +0.61% and other stocks.
The company said in a blog post that it had started the paperwork with the SEC but didn’t share any further details. The number of shares to be offered and the price range for the proposed offering have not yet been determined. The initial public offering is expected to occur after the SEC completes its review process, subject to market and other conditions.