Social media company Reddit is holding its initial public offering (IPO) today (March 21) with the company’s shares set to begin trading on the New York Stock Exchange (NYSE).
Reddit, which runs online message boards and discussion forums, has priced its IPO at $34 U.S. per share, the top end of the expected range.
The stock will trade under the ticker symbol “RDDT.”
The stock offering raised $519 million U.S. for Reddit and values the company at $6.5 billion U.S. Reddit had initially planned to price the IPO between $31 U.S. and $34 U.S. per share.
Reddit sold 15.28 million shares in the IPO offering, while existing shareholders and employees sold another 6.72 million.
This is the first stock market debut of a social media company since Pinterest’s IPO in 2019. Reddit has long sought to go public but delayed its IPO due to the pandemic and 2022 bear market.
Reddit’s stock offering comes a day after another U.S. tech company, Astera Labs, held its IPO.
Astera Labs’ stock rose 72% during its first day of trading on the Nasdaq exchange as investors were attracted to the company’s role as a semiconductor company that plays in the artificial intelligence (AI) space.
While Reddit’s revenue increased 20% in 2023 to $804 million U.S., the company remains unprofitable, posting a net loss last year of $90.8 million U.S.
