October 7, 2016
Snap — the now-parent company of Snapchat — is working on an initial public offering for as early as March that could value the company at $25 billion or higher, The Wall Street Journal is reporting.
The company, according to the WSJ’s sources, is preparing the paperwork for an IPO with the goal of selling shares in late March. As the report points out, just because those are Snap’s goals, that doesn’t mean they will become reality — it could take longer to arrange the IPO, and the firm may not reach a valuation of $25 billion or more.
If the IPO does go ahead as planned, it will be the largest company to go public on the U.S. Exchange since 2014.
Snapchat last month changed its company name to Snap Inc.
“When we were just getting started it made sense to name our company Snapchat Inc., because Snapchat was our only product,” CEO Evan Spiegel said of the name change. “Now that we are developing other products, like Spectacles, we need a name that goes beyond just one product – but doesn’t lose the familiarity and fun of our team and brand.”
Snap, late last month, announced it is entering the hardware market with Spectacles — sunglasses with a built-in video camera capable of capturing and creating “Memories.” Spiegel has indicated the Smart glasses, which will connect directly to Snapchat via Bluetooth or Wi-Fi, would be released some time this fall.