FILE - The Reddit app icon is seen on a smartphone, Feb. 28, 2023, in Marple Township, Pa. Reddit is due to begin trading on the New York Stock Exchange on Tuesday, March 21, 2024. –
About 76 million users checked into one of Reddit’s roughly 100,000 communities in December, according to the regulatory disclosures required before the San Francisco company goes public. Reddit set aside up to 1.76 million of 15.3 million shares being offered in the IPO for users of its service. Per the usual IPO custom, the remaining shares are expected to be bought primarily by mutual funds and other institutional investors betting Reddit is ready for prime time in finance.
By the tech industry’s standards, Reddit remains extraordinarily small for a company that has been around as long as it has. In the recent documents filed for its revived IPO, Reddit attributed the losses to a fairly recent focus on finding new ways to boost revenue. The company also is hoping to bring in more money by licensing access to its content in deals similar toThe increasing level amount of e-commerce transacting on the platform also has Reddit’s management exploring ways to get a piece of the action, according to its IPO filing. “We believe that over time, we can generate revenue based on the volume of commerce that is conducted on Reddit,” the company said in the documents without elaborating on how that might be accomplished.