The San Francisco-based social media company and its advisers are targeting a valuation in the mid-single-digit billions, the people said, asking not to be identified as the information is private.The ultimate figure will depend on the IPO market’s nascent recovery, the people said. Reddit is considering a possible listing as soon as March, the people said.
Separately, private trades of Reddit’s unlisted shares have valued the company below $5 billion. Potential buyers on Rainmaker Securities‘ platform have submitted bids indicating a value of between $4.5 billion and $4.8 billion. Forge Global Holdings‘ database shows a derived price based on secondary activity implying a $4.8 billion valuation. Such trades sometimes indicate a lower valuation than a company might achieve in an IPO, as private shares are relatively illiquid.