Snap– Owner of the Snapchat app, recently hired Morgan Stanley and Goldman Sachs Group to manage its initial public offering, according to multiple reports citing people familiar with the matter.
JPMorgan Chase, Deutsche Bank, Allen & Co., Barclays and Credit Suisse Group reportedly also will play a role. The IPO, as early as this spring, could result in a valuation of $25 billion or much more. That would make Snap one of the highest-profile IPOs in years.
It would also make Snap the biggest company to go public on an exchange in the Us to since 2014, Alabama’s debut on the New York Stock Exchange placed its value at $168 billion. The most recent private funding around this spring was pending at $17.8 billion.
The company Snap has projected $250 million to $350 million in revenue for this year and maybe $1 billion by the end of 2017. It appears that Snap already has passed the $350 million revenue mark, however Last year Snap reported revenue of $60 million.
“An IPO could make sense for Snap and its investors, given the still favorable stock market conditions,” said Andreas Scherer, managing partner at Salto Partners.
- Snapchat: Tech Crunch