Internet
Online platform Reddit wants to go public
Reddit home page. The online platform Reddit is preparing an IPO. Photo: Tim Goode / PA Wire / dpa
© dpa-infocom GmbH
The advertising revenue is gushing, Reddit now has more than 50 million users. Now the platform wants to go public – further details about the plans are not yet known.
The online platform Reddit is preparing an IPO. The company had filed a corresponding application with the US securities regulator, the SEC said in a statement on Wednesday.
Reddit did not provide information on the price and number of shares or the desired valuation or the schedule. These are likely to follow in the coming weeks or months.
In August, Reddit had achieved a valuation of around ten billion US dollars (8.9 billion euros) in a financing round. According to the company, advertising revenue in the second quarter was around $ 100 million – an increase of 300 percent over the same period last year.
According to its own information, Reddit has more than 50 million users every day. They are divided into over 100,000 online communities, so-called subreddits, in which users come together according to their interests. Reddit relies on so-called moderators from the respective communities to oversee the platform. Because the company is often reluctant to regulate content, it has recently come under repeated criticism.
Recently, Reddit also caused a stir on the financial market because hobby investors also allied themselves against professional investors via the platform. The result was price turbulence, which sent the shares of the retail chain Gamestop on a roller coaster ride.