Home / Business / Popular video game platform Roblox announces a public offering that could estimate the company at $ 8 billion

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



Roblox CEO David Baszucki
Roblox CEO David Baszucki introduces one of the new Roblox games.

  • Video game platform Roblox made a confidential public offer, according to a press release on Monday.
  • The number of shares to sell and their price range has not yet been decided.
  • The offer could hook Roblox’s valuation as high as $ 8 billion, Reuters reported earlier this month. This would double the $ 4 billion valuation it received in a February funding round.
  • According to the report, Roblox has not yet determined whether it wants to go public through a traditional IPO or a direct listing.
  • Visit the Business Insider home page for more stories.

Popular gaming platform Roblox announced on Monday that it had made a confidential public offer.

The company previously filed 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 has not yet been decided.

Roblox platform offers users various games on 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 monthly active users. Roblox also plans to raise over $ 250 million this year, up from $ 110 in 2019.

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Reuters first reported Roblox’s plans to go public on Oct.1. The company could aim for a valuation 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 G Series funding round.

Roblox had not 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 become popular in recent years. Direct quotes allow companies to start trading publicly without selling new shares and watering down the stock’s value. Funds are not collected on these lists.

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Read the original article on Business Insider


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