Trading platform Robinhood Markets Inc is considering confidential Initial Public Offering in March 2021. According to a Bloomberg report, the fintech held discussions with underwriters last week, planning to submitted IPO documents as soon as this month.
In December 2019, Reuters reported that Robinhood and selected Goldman Sachs preparations for the IPO for the company valued at approximately $11.7 billion.
In the IPO, the company will convert whichever is lower between a $30 billion valuation or a 30% discount to the offering in a first tranche, followed by a second tranche of the lower of the 30% or a $33 billion valuation.
However, the startup has not finalized details on the timing and the valuation of the listing.
News of the looming listing comes after a time when the platform has gained popularity following the surge of shares like Gamestop and AMC Entertainment and cryptocurrencies like Bitcoin and Dogecoin following mass retail activity in markets.
In February, the platform announced intentions to allow deposits and withdrawals of cryptocurrencies, including Dogecoin. At the moment, Robinhood does not allow users to move their cryptocurrencies to other wallets, where they could have ownership of private keys.
Coinbase, a trading platform for cryptocurrency, earlier submitted documents to the Securities and Exchange Commission to directly list its shares on the Nasdaq under the stock ticker “COIN.”
