Social media company Reddit rides high in IPO

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The Reddit social network said Wednesday it had priced at the top of its expected range ahead of going public on the New York Stock Exchange, in a sign of enthusiasm by investors.

The Reddit logo displayed on a cell phone and computer monitor. Photo: MARIO TAMA / GETTY IMAGES NORTH AMERICA/Getty Images via AFP

San Francisco-based Reddit first filed for its IPO in 2021 when the market was hot thanks to a Covid-linked growth boom for tech, but the attempt stalled as the internetReddit --- unlike Facebook or former-Twitter X --- is siloed into about 100,000 subject-focused chatrooms known as subreddits, making it more specialized and a place where posts are less prone to going viral.

In its filing earlier this month, the company said that it would issue 15.2 million shares priced between $31 and $34.There are a lot of questions on whether Reddit will be a successful business and the company has never turned a profit in its two decades of existence.

 

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