In an unusual move, Reddit plans to offer 1.7 million shares in its upcoming IPO to its own users and moderators. Here's what to know.
Reddit said its initial public offering could raise about $748 million, and that it also plans to offer shares to the social media company's users and moderators as a way to allow them to participate in the stock sale. In a regulatory filing on Monday, Reddit said it will sell about 15.3 million shares priced about $31 to $34 each. Additional, its investors will sell another 6.7 million shares.
'Here's what to know about Reddit's IPOWhy is Reddit going public?Reddit said it's going public to fund its operations and potentially to expand, noting in the filing that it could use the proceeds for 'strategic opportunities,' although for now the platform is not planning any investments or acquisitions.Why is Reddit offering shares to 'Redditors'?Reddit said it is reserving 1.
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