Reddit, the popular internet discussion platform valued at more than $10 billion, said it has confidentially submitted a draft registration statement with the SEC for a proposed initial public offering.
Reddit announced the IPO filing Wednesday and had previously said it was contemplating going public. The company said its hands were tied in releasing any additional info, noting, “We are in a quiet period, and for regulatory reasons, we cannot say anything further.”
Word that Reddit is officially planning to launch an IPO comes after it announced $700 million in new funding in August, which the New York-based company said gave it a post-money valuation of more than $10 billion.
Reddit has said it plans to double headcount in 2021, expanding from about 700 to 1,400 employees. The company earlier this year hired its first-ever CFO, Drew Vollero, who oversaw Snap’s IPO in 2017.
In February of this year, Reddit drew scrutiny from the SEC after users on the r/WallStreetBets subreddit hyped several stocks that had been shorted by traders — including GameStop and AMC Entertainment — leading to volatile swings. Reddit has said r/WallStreetBets did not violate any of its policies.
Reddit was acquired by Condé Nast in 2006, soon after it launched in 2005. In 2011, Condé Nast spun out the site, while Advance Publications, parent of Condé Nast, retains a minority stake in Reddit. Other investors in Reddit include Fidelity, Vy Capital, China’s Tencent, Sequoia Capital and Andreessen Horowitz.
Reddit, which once billed itself as “the front page of the internet,” currently carries the slogan “Dive into anything.” The company describes itself as “a network of communities where people can dive into their interests, hobbies and passions. There’s a community for whatever you’re interested in.”
Like social media platforms, Reddit has been forced to confront hate speech, harassment and other abuse. Last year, the company officially banned hate speech and at the same time disabled about 2,000 subreddits, including r/The_Donald, a notorious pro-Donald Trump forum.