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    Reddit’s IPO Buzz Grows: March Debut Anticipated

    Reddit's IPO Set for March Debut Amidst Rising Social Media Competition

    San Francisco, CA – January 21, 2024: Reddit, the popular social network, has meticulously laid out plans for its Initial Public Offering (IPO), scheduled for March of this year, marking the culmination of a process underway for over three years. This move, if successful, would represent the first IPO by a major social network since Pinterest’s debut in 2019. The timing is significant as Reddit and its counterparts are currently grappling with intense competition for advertising revenues, notably from platforms like TikTok and Facebook.

    Insiders familiar with the matter have revealed that Reddit’s IPO will scrutinize the willingness of its user base to support the company’s foray into the stock market. Over the past three years, many investors active on the platform have played a pivotal role in propelling various “meme” stocks, such as GameStop and AMC Entertainment Holdings, to unexpected highs.

    Having confidentially filed for the IPO in December 2021, Reddit plans to make its public filing in late February, kick off its campaign in early March, and conclude the IPO by the end of that month, according to two reliable sources. The San Francisco-based company, previously valued at approximately $10 billion in a 2021 financing round, aims to offer around 10% of its shares during the IPO, Reuters Report.

    The valuation of the IPO, as per the sources, will be determined closer to the time of listing. However, cautioning that Reddit’s plans could face delays, as has occurred in the past, the sources preferred to remain anonymous due to the confidential nature of these deliberations. A spokesperson for Reddit declined to comment on the matter.

    Founded in 2005 by web developer Steve Huffman and entrepreneur Alexis Ohanian, Reddit gained prominence for its specialized discussion groups and a unique voting system where users can either “upvote” or “downvote” content posted by others. Despite primarily generating revenue through advertising and offering premium access at $5.99 per month, the company, as confirmed by Huffman in a Reddit post last June, has yet to turn a profit.

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