(Finance) – Redditan American company that manages the social media of the same name, intends to offer 15,276,527 shares Class A ordinary shares and selling shareholders a total of 6,723,473 shares Class A ordinary shares in its initial public offering (IPO) that will lead to its listing on the New York Stock Exchange (NYSE), according to an update to its filing with the Securities and Exchange Commission (SEC).
The company plans a Bid Price per share between $31.00 and $34.00. The maximum collection for the company is therefore 519.4 million dollars, while if we also consider the 228.6 million dollars from the selling shareholders we arrive at a total collection of 748 million dollars.
Reddit will have three classes of shares with different voting rights. Class A shares will have one vote per share. Class B shares will have 10 votes per share and may be converted into one Class A share at any time. Class C shares have no voting rights.
The holders of the outstanding common shares of Class B they will hold approximately the 97.1% of the voting power of the outstanding capital stock following the completion of the offering, with the directors and executive officers and their affiliates owning approximately 46.7%, following the effectiveness of agreements between CEO Steven Huffman, a member of the board of directors and some shareholders, and assuming that the underwriters’ option to purchase additional shares to cover the over-allotment is not exercised.
Reddit has Reserved approximately 1.76 million shares for certain users and moderators, known as Redditorswho wish to participate in the initial public offering and created their accounts before January 1st.
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