In its IPO prospectus, Reddit highlighted its role in the AI boom and announced plans to offer shares to some of its users and moderators. The company also revealed that it has invested a portion of its surplus capital in Bitcoin and Ether and plans to continue this investment approach in the future. Reddit reported a net loss of $90.8 million on revenue of $804 million in 2023, an improvement from a net loss of $158.6 million on revenue of $666.7 million in the previous year.
Key takeaways:
- Reddit has made public its paperwork for an initial public offering (IPO) in the United States, with Sam Altman, CEO of OpenAI, set to gain the most due to his early investments in the company.
- Altman holds 9.2% of voting power ahead of Reddit’s IPO, including 789,456 Class A shares and 11.4 million Class B shares, valuing his stake at roughly $435 million.
- Reddit reported a net loss of $90.8 million on revenue of $804 million in 2023, an improvement from a net loss of $158.6 million on revenue of $666.7 million in the previous year.
- As part of its IPO, Reddit declared that a portion of its surplus capital had been directed towards investments in Bitcoin (BTC) and Ether (ETH), and it plans to continue this progressive investment approach in the future.