US trading app Robinhood aims for $35bn valuation in IPO

US trading app valuation robinhood
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US trading app Robinhood aims for $35bn valuation in IPO

Robinhood, the US trading app at the centre of the buzz surrounding meme stocks such as GameStop and the cinema company AMC, and cryptocurrencies such as dogecoin, is hoping to float on the New York stock market at a valuation of up to $35bn.The online brokerage, which states its mission is to “democratise” investing, revealed the details of its initial public offering plans in a stock market filing on Monday, setting the stage for one of the most highly anticipated IPOs of the year.The flotation comes after the app experienced a huge increase in young people joining the platform and starting to trade shares during the coronavirus pandemic, often buying meme stocks such as GameStop.Robinhood was criticised after it was forced to curb trading in the middle of the surge in GameStop’s shares as it struggled to cope with demand.If Robinhood achieves the $35bn (£26bn) valuation target, it will represent a threefold increase since September 2020, when the company was valued at $11.7bn at a private equity fundraising. The shares are expected to be priced between $38 and $42, the company said.Guardian business email sign-upRobinhood was founded in 2013 by Stanford University roommates Vlad Tenev and Baiju Bhatt. They