Reddit Files For IPO, Will List On NYSE Under Stock Symbol ‘RDDT’

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Social media platform Reddit filed with the SEC today for an initial public offering, a move anticipated for years by the company, which was founded in 2005 by Steve Huffman, Alexis Ohanian and Aaron Swartz. It boasts 100k+ communities, or subreddits, including wallstreetbets, the home of meme stock traders who upended Wall Street in 2021, taking shares of GameStop and others to the moon.

The offering is expected in March, according to CNBC. The company, which runs on advertising, said it had revenue of $804 million in 2023 and 73 million average daily active uniques (267 million average weekly), and 1 billion cumulative posts.   

“We are going public to advance our mission to become a stronger company, and provide meaningful benefits to our community. We plan to do this by keeping Reddit a real and authentic place,” the filing said.

In a letter attached, Huffman said, “The communities of Reddit help people at a scale that I never imagined might be possible,” calling it “a vibrant community, a constantly evolving place where anyone, anywhere, can connect with like-minded people and dive into any topic. The conversation ranges from the sublime to the ridiculous, the trivial to the existential, the comic to the serious.”

“Reddit is not a social media platform optimized for self-display; it is a community that rewards candor and honest advice.”

Besides providing cash, going public will help turn users into owners as the company said it is inviting users and moderators to buy shares in the IPO, alongside investors. The company will also reserve about 1% of its common stock to fund community-related programs.

Reddit noted plans to use artificial intelligence to improve its ad business. It’s also developing a data-licensing business. It just inked a deal with Google giving the search giant access to its data.

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