SA国际传媒

San Francisco-based , co-founded by CEO and venture investor more than 18 years ago, is finally going public Thursday on the .听

Reddit鈥檚 IPO will be closely watched for a number of reasons. Its IPO is the first from a social media company since 鈥檚 debut in 2019. Startup investors and entrepreneurs are also hoping the IPO, which follows a prolonged drought for new tech offerings, could help kickstart the IPO market again.听

Reddit will trade on the NYSE under the ticker symbol RDDT. Its targeted share price is $31 to $34 at a value up to $6.4 billion upon listing.听

In an unusual move, the company is offering 74,000 of its active moderators and users at the price set the day before the company goes public, in order to give them access to some upside should the stock increase over time.听聽

Reddit鈥檚 biggest shareholders

Reddit was founded in the summer of 2005, as part of the first accelerator class, alongside only eight other companies.听

It came about in the Web 2.0 era, a period defined by the birth of user-generated content platforms that also birthed Facebook (now ), Twitter (now ) and .听

Within 18 months of Reddit鈥檚 founding, media company , owner of magazine publisher Cond茅 Nast among other properties, acquired the startup for $10 million.听

Advance remains the largest shareholder in Reddit, with a 30.1% ownership of the company, according to securities filings.听

Other leading shareholders include investors who have led fundings in Reddit since 2014:聽

• Chinese tech conglomerate led Reddit鈥檚 Series D of $300 million in 2019 and now owns 11% of the company.听
• led Reddit鈥檚 $420 million Series F, valued at $10 billion. The firm, which also invested in earlier rounds, now owns 9.5% of Reddit.
• Entrepreneur and investor , now CEO of , led Reddit鈥檚 Series B of $50 million in 2014. His investment properties still own 8.7%, according to filings.
• and combined own 6.8% and first invested in the Series C round.听
• led Reddit鈥檚 Series E of $368 million in 2021 and now owns 5.1%.听

Venture firms and have also both invested in Reddit, but do not own more than 5%, according to filings.听

By the numbers: Funding, revenue and growth

Reddit has raised more than $1.3 billion from investors since its founding, according to SA国际传媒.

Its 2023 revenues totaled $804 million, up 21% year over year, according to filings. On its IPO roadshow, the company indicated it expects to grow . A new revenue stream inked in January includes a $60 million a year deal for three years with Google to train AI models.听

On Friday, the company said in filings that the , which the company has said could bring in more than $200 million in revenue over the next few years.

Reddit hosts approximately 100,000 forums, called subreddits, on niche to broad topics, all managed by its community of users. The platform gained more mainstream attention for its subreddit and that forum鈥檚 role in the 鈥渕eme stock鈥� phenomenon characterized by the GameStop trading flurry in 2021.听

The site had an average 73 million daily active users in the fourth quarter of 2023, up 27% over the previous year, according to its filings, and user growth has increased in the last two quarters. Still, the company has run at a loss each year.

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