Home https://server7.kproxy.com/servlet/redirect.srv/sruj/smyrwpoii/p2/ Business https://server7.kproxy.com/servlet/redirect.srv/sruj/smyrwpoii/p2/ Popular video game platform Roblox announces a public offering that could value the company at $ 8 billion

Popular video game platform Roblox announces a public offering that could value the company at $ 8 billion

Roblox CEO David Basutski
Roblox CEO David Basutski introduces one of Roblox’s new games.

  • The video game platform Roblox is submitting a confidential public offering, a press release said Monday.
  • The number of shares to be sold and their price range have not yet been determined.
  • The proposal could bind Roblox’s valuation to $ 8 billion, Reuters reported earlier this month. That would double the $ 4 billion estimate received in the February funding round.
  • Roblox has not yet determined whether it wants to go public through a traditional IPO or a direct listing, according to the report.
  • Visit the Business Insider homepage for more stories.

The popular gaming platform Roblox announced on Monday that it has submitted a confidential application for public offering.

Earlier, the company submitted a project for registration with the Securities and Exchange Commission for the sale of shares of its ordinary shares, the press release said. The number of shares to be sold and their price have not yet been determined.

The Roblox platform offers users several different games in game consoles and mobile devices. Although the platform itself is free, users can spend money on in-game items.

The company announced in July that it has more than 1

50 million active users a month. Roblox also expects to earn over $ 250 million this year, up from $ 110 in 2019.

Read more: Global investment strategist in a $ 44 billion ETF store explains why the pandemic-driven online retail boom will accelerate – and shares 5 stocks to watch besides Amazon before its first day

Reuters first announced Roblox’s plans to go public on October 1. The company could target an estimate of up to $ 8 billion, depending on market demand, according to the report. Roblox was last valued at $ 4 billion in February after raising $ 150 million in a Series G round of funding.

Since the beginning of October, Roblox had not decided whether to debut on the public market through a traditional initial public offering or direct listing.

The latter option has been growing in popularity in recent years. Direct listings allow companies to start trading publicly without selling new shares and reduce the value of the shares. Funds are not raised in such lists.

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Read the original Business Insider article

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