Popular video game platform Roblox announces public offering that could value the company at $8 billion
- Video game platform Roblox filed confidentially for a public offering, according to a Monday press release.
- The number of shares to be sold and their price range has not yet been decided.
- The offering could peg Roblox’s valuation as high as $8 billion, Reuters reported earlier this month. That would double the $4 billion valuation it received in a February funding round.
- Roblox hadn’t yet determined whether it wants to go public through a traditional IPO or a direct listing, according to the report.
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Popular gaming platform Roblox announced Monday it filed confidentially for a public offering.
The company previously submitted a draft registration with the Securities and Exchange Commission to sell shares of its common stock, according to a press release. The number of shares to be sold and their price rage has not yet been decided.
Roblox’s platform offers users several different games across gaming consoles and mobile devices. Though the platform itself is free, users can spend money on in-game items.
The company announced in July it has more than 150 million monthly active users. Roblox also expects to rake in more than $250 million this year, up from $110 in 2019.
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Reuters first reported Roblox’s plans to go public on October 1. The company could target a valuation as high as $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 funding round.
Roblox hadn’t decided whether to make its public-market debut through a traditional initial public offering or a direct listing as of the early October report.
The latter option has grown in popularity in recent years. Direct listings allow firms to begin trading publicly without selling new shares and watering down the stock’s value. Funds aren’t raised in such listings.
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