Online broker Robinhood Markets will list its shares in an initial public offering (IPO) onnext week.
On Monday, Robinhood said it would offer 55 million shares at a price from$38 to $42 each.On the Nasdaq market, they will trade under the ticker HOOD.
At $ 42 per share, Robinhood can be valued at $ 35 billion. Robinhood plans to announce its fair value on July 28 and go public by the end of this year.
The documents were filed with the SEC for the IPOcompany back in March. However, the regulator has a number of questions about the broker's crypto business. Following an audit by the regulator Robinhood, a fine of $ 10 million was imposed for non-compliance with anti-money laundering (AML) requirements.
This did not stop the startup from going to IPO and increasingprofit. Preliminary estimates call for second-quarter revenue of $546 million to $574 million, more than doubling the $244 million in the second quarter of 2020. The growth in popularity and profit of the platform was also facilitated by a 600% increase in users at the end of last year and the hype around the meme coin Dogecoin (DOGE).
Robinhood has already raised $5.6 billion this year.funding raised in a round led by Ribbit Capital. None of Robinhood's investors plan to sell shares at the IPO. Index Ventures will own 4.2%, New Enterprise Associates – 3.7%, Ribbit – 3.1%, and DST Global – 2.9%,
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