Business Reddit files to list IPO on NYSE under the ticker RDDT - Reddit are trying to sell stocks to jannies too while spez made 200 million last year lmfao

• Reddit on Thursday filed to go public.
• Its market debut will mark the first major tech initial public offering of the year and the first social media IPO since Pinterest went public in 2019.
• The social media company, founded in 2005 by technology entrepreneurs Alexis Ohanian and Steve Huffman, has raised about $1.3 billion in funding and has a post valuation of $10 billion, according to deal-tracking service PitchBook.

Social media company Reddit filed its IPO prospectus with the Securities and Exchange Commission on Thursday after a yearslong run-up. The company plans to trade on the New York Stock Exchange under the ticker symbol “RDDT.”

Its market debut, expected in March, will be the first major tech initial public offering of the year. It’s the first social media IPO since Pinterest went public in 2019.

Reddit said it had $804 million in annual sales for 2023, up 20% from the $666.7 million it brought in the previous year, according to the filing. The social networking company’s core business is reliant on online advertising sales stemming from its website and mobile app.

The company, founded in 2005 by technology entrepreneurs Alexis Ohanian and Steve Huffman, said it has incurred net losses since its inception. It reported a net loss of $90.8 million for the year ended Dec. 31, 2023, compared with a net loss of $158.6 million the year prior.

Reddit is one of the most-visited websites in the U.S., according to analytics firm Semrush, but it has struggled to build an online advertising business comparable to those of tech giants such as Facebook parent Meta and Google parent Alphabet.

Reddit has more than 100,000 communities, 73 million average daily active uniques, or DAUq, and 267 million average weekly active uniques, according to the filing. As of the fourth quarter of 2023, Reddit’s U.S. average revenue per user, or ARPU, was $5.51, down from $5.92 from the previous year. The company’s global ARPU was $3.42, which was a 2% year-over-year decline from $3.49.

Reddit said that by 2027 it estimates the “total addressable market globally from advertising, excluding China and Russia, to be $1.4 trillion.” Reddit said the current addressable advertising market is $1.0 trillion, sans China and Russia.

The company is building on its search capabilities and plans to “more fully address the $750 billion opportunity in search advertising that S&P Global Market Intelligence estimates the market to be in 2027.”

Reddit said it plans to use artificial intelligence to improve its ad business and that it expects to open new revenue channels by offering tools and incentives to “drive continued creation, improvements, and commerce.“

It’s also in the early stages of developing and monetizing a data-licensing business in which third parties would be allowed to access and search data on its platform.

For example, Google on Thursday announced an expanded partnership with Reddit that will give the search giant access to the company’s data to, among other uses, train its AI models.

In June, several prominent Reddit moderators locked subreddits as part of a blackout to protest the company’s decision to increase the price some third-party developers pay to use its application programming interface, or API, depending on their usage. At the time, Reddit said the pricing change was necessary because many big tech companies were using data to train large language models.

“In January 2024, we entered into certain data licensing arrangements with an aggregate contract value of $203.0 million and terms ranging from two to three years,” Reddit said, regarding its data-licensing business. “We expect a minimum of $66.4 million of revenue to be recognized during the year ending December 31, 2024 and the remaining thereafter.”

Reddit appears to be investigating a business strategy akin to that of Roblox, which derives the bulk of its revenue from digital sales on its social gaming platform, and online retailer eBay. The company wants to introduce more features to create a user economy that could include games, according to the filing. Reddit said there are currently informal exchanges of physical and digital goods and services that may create another line of revenue.

Reddit will offer three classes of stock with different voting shares. Class A stock will come with one vote per share. Class B shares will come with 10 votes per share and can be converted at any time into one share of Class A stock. Class C shares have no voting rights.

Reddit said that its non-employed moderators, known as Redditors, can participate in the company’s IPO offering through its “directed share program.” Because of this, Reddit said there’s a possibility of “individual investors, retail or otherwise constituting a larger proportion of the investors participating in this offering than is typical for an initial public offering.” Reddit said it had an average of more than 60,000 daily active moderators in December 2023.

“These factors could cause volatility in the market price of our Class A common stock,” the company warned.

Regarding risks, Reddit said its daily active unique figures “may fluctuate or decrease in one or more markets from time to time due to various factors.”

“For example, although we saw increased growth in our user base during the COVID-19 pandemic, we experienced lower levels of DAUq growth and declining DAUq as the effects of the COVID-19 pandemic subsided,” the filing said. “DAUq has also declined in the past in periods following usage peaks surrounding certain worldwide events, such as the onset of the conflict between Russia and Ukraine in the three months ended March 31, 2022, and cultural trends, including video game releases, such as Elden Ring in the three months ended March 31, 2022, and traffic related to r/wallstreetbets in the three months ended March 31, 2021.”

Reddit first filed a confidential draft of its public offering prospectus with the Securities and Exchange Commission in December 2021. The company has an employee headcount of 2,013 as of December 31, 2023, which was up from 1,942 during the previous year.

Reddit has raised about $1.3 billion in funding and has a post valuation of $10 billion, according to deal-tracking service PitchBook. Publishing giant Condé Nast bought Reddit in 2006. Reddit spun out of Conde Nast’s parent company, Advance Magazine Publishers, in 2011.

Advance now owns 34% of voting power. Other notable shareholders include Tencent and Sam Altman, CEO of startup OpenAI.

https://www.cnbc.com/2024/02/22/reddit-files-to-list-ipo-on-nyse-under-the-ticker-rddt.html (Archive)

Message some jannies received trying to sell stocks to them:

Hello,

TL;DR: – you're invited to a special program that lets redditors purchase stock at the same price as institutional investors when we IPO. Details about eligibility and next steps follow. This (long, dense) message has all the info we can provide due to legal restrictions.

As you may have heard, Reddit has taken steps toward becoming a publicly traded company with the initial public filing of our registration statement with the U.S. Securities and Exchange Commission on February 22, 2024. Yes, it's happening.

And because you have helped make Reddit what it is today, you now have the opportunity to become Reddit owners at the same price as institutional investors.

We're offering a Directed Share Program (“DSP”) that invites eligible users and moderators who have contributed to Reddit to participate in our initial public offering (“IPO”). (Including you!)

Program Requirements​

While being selected to pre-register is the first step, there are certain legal and regulatory requirements to participate in the DSP that are outside of Reddit's control. Bear with us here…

To be eligible for the DSP, you must:

• Be a current U.S. resident;

• You will be asked to provide the DSP Administrator a valid social security or permanent resident number, along with other personal information. Reddit will not have access to this data.

• Please note that U.S. residents using a VPN may face application limitations if the VPN locates them in certain non-U.S. jurisdictions.

• Be at least 18 years old;

• Provide your full legal name and an email address;

• Not be a current or former Reddit employee (FTE).

When the DSP launches (a few weeks after pre-registration ends), individuals who have been confirmed for the program will be contacted by our external DSP Administrator. You will then be asked to provide additional information securely to the DSP Administrator to confirm your eligibility.

How to pre-register​

The number of people who can participate in the DSP is limited; we will offer this opportunity to as many redditors as we are able to accommodate. If capacity is reached before the deadline, you will be added to the waitlist. Based on demand, we may also limit the number of shares available.

If you are interested in being part of Reddit's DSP, please go to https://reddit.com/dsp on desktop to complete the pre-registration form. If you are one of the confirmed participants, we will follow up with an email with more details in the coming weeks. You can also refer to the Frequently Asked Questions for more information. Due to regulatory restrictions (yeah… we know…), we are not able to respond to further inquiries or questions.

Pre-registering does not guarantee that you will be invited or able to participate in the DSP; it also does not obligate you to purchase shares.

As with any investment opportunity, you should make an individual decision based on your own personal circumstances and risk tolerance. Therefore, we urge you to review the preliminary prospectus, when available, before deciding whether to invest in Reddit.

The deadline for pre-registering for the DSP is March 5, 2024. If capacity is reached before the deadline, you will be added to the waitlist.

What happens next?​

While there won't be a confirmation email immediately after you pre-register, everyone who pre-registers will receive an email in the coming weeks from “noreply@redditmail.com” telling them whether they can proceed with the next steps for the DSP.

This is an automated message (beep, boop, beep) and does not receive replies. Please refer to the FAQ for more information. Per our lawyercats, we are not able to respond to further inquiries or questions.

Prospectus and Important Disclosures

*The offering will be made only by means of a prospectus. When available, a copy of the preliminary prospectus related to the offering may be obtained from:

Morgan Stanley & Co. LLC, Prospectus Department, 180 Varick Street, New York, New York 10014, or email: prospectus@morganstanley.com; Goldman Sachs & Co. LLC, Attention: Prospectus Department, 200 West Street, New York, New York 10282, telephone: 1-866-471-2526, facsimile: 212-902-9316, or email: prospectus-ny@ny.email.gs.com; J.P. Morgan Securities LLC, Attention/o Broadridge Financial Solutions, 1155 Long Island Avenue, Edgewood, New York 11717, telephone: 1-866-803-9204, or email: prospectus-eq_fi@jpmorgan.com; and BofA Securities, Inc., NC1-022-02-25, 201 North Tryon Street, Charlotte, North Carolina 28255-0001, Attention: Prospectus Department, telephone: 1-800-294-1322, or email: dg.prospectus_requests@bofa.com.*

A registration statement relating to these securities has been filed with the U.S. Securities and Exchange Commission but has not yet become effective. These securities may not be sold nor may offers to buy be accepted prior to the time the registration statement becomes effective. This notification shall not constitute an offer to sell or the solicitation of an offer to buy these securities, nor shall there be any sale of these securities in any state or jurisdiction in which such offer, solicitation, or sale would be unlawful prior to registration or qualification under the securities laws of any such state or jurisdiction.

No offer to buy the securities can be accepted and no part of the purchase price can be received until the registration statement has become effective, and any such offer may be withdrawn or revoked, without obligation or commitment of any kind, at any time prior to the notice of its acceptance given after the effective date. An indication of interest in response to this notification will involve no obligation or commitment of any kind.

Spez made almost 200 million last year too:



And it's important for the jannies to do it for free:



SEC filing attached and can be found here: https://www.sec.gov/Archives/edgar/data/1713445/000162828024006294/reddits-1q423.htm (Archive)

 

[6thRanger]

a question, silly indeed, if too many people take short position do stocks rise?



that fatty might've cardiac arrest any day

He probably has contingencies. Believe in Josh's terminal autism.

 

[X Prime]

migrated over to Twixer, and ruined the site for years.

You mean continue to ruin the site.

Coomers are like fucking locusts.

 

[No Batty Boys in Jamaica]

I really wish I didn't have to repair my car recently. Maybe I'd try to short Reddit too.

Maybe in a few years The Bidness can get together and do a short squeeze on Reddit in a few years.

That way you don’t have to worry about losing more than your investment.

 

[Cheeseknife]

Reddit however is actively bad at making money and has never actually generated a profit in it's entire 19 years of existing. The CEO was paid $193 million a year to run a company that hasn't made a profit (which is really good business sense). The feeling among people that aren't completely retarded is that this IPO is going to sink like a rock as Reddit crashes like a meteor in value. Social Media websites die all the time (Myspace got bought and died, Tumblr got bought and died, Deviantart got bought, and so on) and this smells a lot like the owners trying to pass the bag onto some unwitting retards - which is why they're targeting Reddit users and not savvy investors.

The same was said about YouTube, though. People assumed after Google bought them and they caved to advertising that the platform would die. However, that clearly wasn't the case and hasn't been the case for the last two decades. Reddit could go the same way. It'll bring on the advertising, people will bitch and complain about ads, about moderation, etc. but may eventually settle in for the long haul.

 

[Honka Honka Burning Love]

Well, if Reddit dies, will where the Redditors go?

Hopefully into a Grave next to Reddit.

 

[NOT Sword Fighter Super]

Well, all their weird actions over the past year suddenly make a whole lot of sense.

What doesn't make sense is thinking this site with a retarded user base and a really really bad reputation (the fappening, etc) will turn any sort of profit.

 

[X Prime]

Things like piracy or NSFW are very likely to be removed now.
No more porn. No more swearing. No more "controversial" topics.

I do not grasp why this is necessarily true. Twitter launched an IPO in 2013 and it was a den of pedo bullshit afterwards.

The pedo bullshit that was there all along only started getting attention once Musk bought it.

 

[theshitposter]

My biggest worry here is the nuking of all the subs that were incredibly informative, such as r/Piracy, r/Datahoarder, r/Opendirectories, r/Roms, r/GenP, r/CrackWatch and so on. Archive Team will surely have all of that backed up on everything from hard drives to LTO tapes and M-Discs, but that'll be a static copy you'd need on hand to access, and it wouldn't get updated since the communities are dead. And where will they move? Who the fuck knows, and who knows if the "new" ones won't be impostors that'll abuse the reputation of the old communities to peddle malware links in the megathreads. I know r/Piracy had a backup plan ready years ago, but the same cannot be said about other subreddits.

There's also the issue that a shitton of answers to technical issues are on Reddit, the rest is either shitty pre-written articles or those bot generated sites that tell you fuck all and only poison search results. As much as people hate on Reddit for troons and all the psychos, they don't realize how valuable of a resource it still is. No, not all subs are r/transirl and a lot of them are still full of people that just want to talk about a thing and keep up the quality of the conversation. But when Reddit starts axing those communities for telling people how to violate copyright law, and then potentially completely go under, that'll be a fucking travesty.

Its pretty shitty that whenever a community gets burned on reddit they go off and make a reddit clone instead of realizing what makes reddit sucks in the first place, its designed to be shit and easily astroturfed for consensus.

Its why i am not optimistic for any forum resurgence, people who realize how much social media sucks are already not on social media and the rest just want to keep their fix going in a substitute that is the same as before, probably jumping to something even more cancerous with quicker dopamine hits like tik tok. Zoomers and gen alpha are specially a lost cause, they LOVE their botnet pozz and their malware, they already grew up with it and don't want or expect anything different. Reddit is more of a thing for soylleniaks that even normies don't use so it won't make much of a splash at all if it goes away.

tbh, it is a good thing when a subreddit is banned. each ban gives rise to a new separate forum website which grows beyond the clutches of archaic reddit UI
as @chiobu himself would attest, WPD never died. there are multiple meme offshoots, piracy collectives, donald trump one, guns ones, IP2?? & so on

once a community tastes the warmth of companionship, the seed survives falling off from the tree

He probably has contingencies. Believe in Josh's terminal autism.

even mrbeast has plans to release videos post his death, so what

 

[NOT Sword Fighter Super]

The fact they’re trying to get their jannies to buy into the stock scheme is proof this is a pump and dump and their financial situation is grim. They’re only going IPO as one last fleece before it’s sold off.

Question should be: what happens next? If Reddit collapses or closes or whatever, where does the user base go? Do forums make a comeback? Or will some equally-pozzed (maybe even more so) alternative spring up?

I'm willing to bet here will be an option.

That's what happen when the Opie and Anthony subreddit got banned.

And mocking retarded new users is one of my favorite pass times.

 

[Yeeted Teet]

Kiwi stock when?

The silver Kiwi coins were a safer investment than Reddit stocks because at least they'll always be worth the price of the metal.

 

[TV's Adam West]

>HE PAYS TO DO IT

 

[Cheeseknife]

I do not grasp why this is necessarily true. Twitter launched an IPO in 2013 and it was a den of pedo bullshit afterwards.

The pedo bullshit that was there all along only started getting attention once Musk bought it.

Maybe if this was 10 years ago that wouldn't be the case, but that was prior to 2016 when, all of a sudden, the world seemingly decided to grow a conscience overnight.

 

[X Prime]

Maybe if this was 10 years ago that wouldn't be the case, but that was prior to 2016 when, all of a sudden, the world seemingly decided to grow a conscience overnight.

The world never grew a conscience. It's simply that the sheep get outraged when curated mass media tells them to.

In other words, Reddit won't need to change much in terms of NSFW so long as it is a useful propaganda tool for libertine globalist elites. Just like being publicly traded didn't mean Twitter had to change even after 2016.

There are no rules.

 

[AssignedEva]

Well, all their weird actions over the past year suddenly make a whole lot of sense.

What doesn't make sense is thinking this site with a retarded user base and a really really bad reputation (the fappening, etc) will turn any sort of profit.

The thing is, the basic structure of reddit could work for something else. People unused to reddit can get confused by the layout and don't really "get" it, but that could change.

Think about the Daily Mail comment sections or Facebook groups. Older people like using those to have Internet arguments. If you were able to convince older people watching their Woke Transgender Shut Down By Nigel Farage videos on YouTube into subscribing to a "things are going to shit" sub-editor and discussing it there, you could theoretically poach that user base, a user base who don't know how to use adblock and might be monetisable in a way the current userbase isn't.

This would require a bonfire of the trannities to tackle powermods and group think... there's some subreddits that seemingly manage to cling on because their user base have a consensus and drive off the troons or their nature means troons aren't interested (I think there's a gay subreddit that effectively openly says trans people aren't their gender, and since they're gays instead of lesbians the troons aren't looking at it). Reddit has shown willingness to do this with them banning custom apps and then booting all the tranny jannys that tried to sabotage their own subreddits in protest, which generated some glorious seething.

It's probably not achievable though. I'd say doubley so if the first round of shares all get bought by tranny jannies who can then assert their rights as shareholders to object to big culture shifts on reddit, but we all know the tranny jannies don't have any money to buy shares in any meaningful amount.

 

[Oilspill Battery]

No more porn.

Reddit is gonna die when that happens btw, an enormous part of their traffic is porn and sex shit.

 

[X Prime]

It won't happen. Everybody saw how Tumblr never recovered from the porn ban.

The media will just ignore the problem for years unless someone they don't like gets too much say there.

 

[Kazukifaen]

Nothing of value is found on reddit, Shareholders

also have a rope ready Jannies, then reddit decided to scrub /delete your sub human r/forums
like those on page 6

Because of those evil shareholders/capitalism

 

[Cheeseknife]

The world never grew a conscience.

I know, I said it sarcastically because the reality is that everyone has to act like they have a conscience now despite the fact that it is biting them in the ass. Remember, they had to act like "locker room talk" was bad or treat every SA allegation seriously when a woman says it because of MeToo. This has had an immense affect on how people are conducting themselves today in the business world which means advertisers are extremely wary of it. I don't see that changing any time soon.

 

[X Prime]

This has had an immense affect on how people are conducting themselves today in the business world which means advertisers are extremely wary of it and will try to get it shut down. I don't see that changing any time soon.

I mean I understand what you are saying but Twitter is the closest barometer for what will happen here.

The absolute and ironclad reality is Twitter had an IPO, and its status as a den of degenerate coomer shit only accelerated. Musk taking it private slowed it down slightly, yet mysteriously only now after he bought it is it widely acknowledged that Twitter is full of various foulness.

Until the reality of politically-convenient double standards is no longer the case, a social media IPO won't mean shit for degeneracy.

 

[Mega Black]

Much as I enjoy seeing Redditors suffer I really don't want them spreading to other parts of the internet.