Social media platform Reddit has said it confidentially submitted a draft registration with the U.S. Securities and Exchange Commission to go public on Wall Street.
As such, Reddit said in a statement on Wednesday that it has “confidentially submitted a draft registration statement on Form S-1 with the Securities and Exchange Commission (the ‘SEC’) relating to the proposed initial public offering of its common stock.”
On his part, the company’s CEO Steve Huffman told the New York Times that Fidelity’s investment would give it more time to decide when and how to go public.
Huffman said back in August that Reddit was “still planning on going public but didn’t have a firm timeline,” adding that “All good companies should go public when they can.”
The 16-year-old site has not yet determined how many shares to offer or the price range for its initial public offering.
In addition, there were signs that the well-financed company was readying for an IPO, while it announced in March the hiring of its first-ever CFO, Drew Vollero, who previously worked on Snap’s IPO.
In the meantime, Reddit has raised $1.3 billion in funding so far, according to public information.
The company was founded in 2005, growing to 52 million daily users by August, with more than 100,000 active sub-reddits and planning to double its staff by the end of 2021 to around 1,400 employees.
Reddit had roughly 52 million daily active users and over 100,000 communities, or “sub-reddits,” as of October last year.
The San Francisco-based company said it had not yet determined the number of shares offered nor the price range for the stock.
“The initial public offering is expected to occur after the SEC completes its review process, subject to market and other conditions,” added the company, which did not make the registration form public.
Reddit showed its influence in January 2021, when small-time stock traders stunned Wall Street by betting against the stocks that had gone viral like those of the video store chain GameStop.
Its most prominent investors include Fidelity Investments, Andreessen Horowitz, Sequoia Capital, and Tencent Holdings.