In the News
Growth Strategy: Snapchat Looks to Raise $4bn from the Stock Market
Snap Inc. (owners of Snapchat) is looking to raise around $4bn as it moves from being a private to a public company via a stock market flotation.
The video below features an excellent discussion of why Snapchat has decided now is the right time to seek a public listing for its shares. As usual, the main aim of an initial public offering (or "IPO") is to raise growth capital, as well as providing an "exit" for the venture capitalists who have financed Snapchat thus far.
This article on Business Insider is also worth a read. It considers the success of Snapchat's innovation in recent years and the increasingly intense competitive rivalry with Facebook. Don't forget that the founders of Snapchat declined a multi-billion offer for their company from Facebook!