Co-founders and co-CEOs of Robinhood Baiju Bhatt and Vladimir Tenev.
Robinhood secretly files for IPO in wake of GameStop saga
The fintech is yet to disclose any details of its IPO, but it’s speculated that it will list on the NASDAQ.
Trading and investment platform Robinhood has confidentially submitted a draft application with the Securities and Exchange Commission (SEC) for its initial public offering (IPO).
The news comes after months of speculation that the fintech was to gearing up to pursue a public listing and follows a series of sizeable funding rounds, most recently closing a massive $3.4bn funding round in February of this year.
In a blog post, Robinhood said that it is yet to determine the number of shares and the price range for its listing, although it’s understood that the fintech will pick the tech-focused NASDAQ for its listing.
Despite record raises, and a swelling user base Robinhood has had a volatile 12 months.
Just over a year ago today, the platform suffered a mass-outage causing some users to lose tens of thousands of dollars, with Robinhood having to offer customers case-by-case compensation as a result.
In light of the market volatility surrounding the ‘Meme Stocks’, Robinhood restricted transactions of all stocks caught up in the GameStop saga.
Following Robinhood’s decision, many influential people began piling into the fintech, including founders of cryptocurrency exchange Gemini Tyler and Cameron Winklevoss, entrepreneur and Shark Tank investor Mark Cuban, rapper and Fyre Festival co-founder Ja Rule and US politician Alexandria Ocasio-Cortez.
Robinhood has long had a penchant for raising huge sums of cash and it’s hoped the IPO will help it raise even more, although the fintech did not disclose the size of its IPO.
The trading and investment platform was last valued at $11.7bn thanks to a $460m extension of its Series G last September.