Confidentially, Snap Inc. files for IPO
The social media giant has started paperwork to file an initial public offering. Here are details, predictions and what marketers might want to know.
Snap Inc.—social media marketing tool, Snapchat’s parent company—has begun the process for making an initial public offering.
Snapchat will seek to raise as much as $4 billion in its planned initial public offering, Bloomberg reports. The IPO could value Snapchat at about $25 billion to $35 billion, though a final decision on the size of the IPO isn’t set.
The Wall Street Journal reports:
The four-year-old company, whose Snapchat app lets users send disappearing messages from their smartphones, was eligible to file its IPO paperwork confidentially because it expects to have less than $1 billion in revenue this year. Under the 2012 Jumpstart Our Business Startups Act, companies with annual revenue below $1 billion have the option to file an initial draft of their IPO prospectus with regulators and make adjustments before unveiling it publicly.
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