Snapchat Parent Snap Files $3 Billion IPO, But No Voting Shares

What was once an app for teenagers is now a company valued at somewhere between $20-25 billion.

An IPO is a bold step for a company that began while CEO Evan Spiegel was still an undergraduate at Stanford University.

Snap - which initially let users send disappearing messages and has since added other services - is an fantastic success story that's likely to revive the market for venture-backed technology IPOs.

The filing revealed that company has daily 158 million active users who click 2.5 billion snaps every day, as of 4th quarter of 2016.

In its filing, Snap said Spectacles have not yet "generated significant revenue" for the company.

For years, I've been arguing that the big question will be whether Snapchat becomes Facebook or does it become Groupon.

The increased competition from Facebook and its various apps by mimicking some of Snapchat's core features has also been flagged - most notably the Stories feature where users tell the story of their day through photos and video, which recently appeared on Instagram.

WWE Royal Rumble 2017 results, videos, highlights, reactions
As much as it would upset a lot of fans, I just don't see a scenario where Owens holds on to the title, so I'm going with Reigns. He eliminated the Undertaker causing people to believe that is the direction WWE is heading towards Wrestlemania season.

During 2016, Snap lost $514.6 million, which was far greater than the $372.9 million it lost in 2015, the SEC documents show.

The company confidentially filed paperwork for an IPO before the presidential election. "We are not aware of any other company that has completed an initial public offering of non-voting stock on a USA stock exchange".

Snap plans to go public, perhaps as soon as March. This is not uncommon for companies to do, as many others follow in the same paths, assigning various jobs to one cloud company and other jobs to another company.

Still, the company has a diverse revenue stream: No single advertiser or content partner accounts for more than 10 percent of revenue, the filing said.

"We expect to continue to expand our team at a rapid pace through hiring and acquisitions to support potential future growth", Snap stated in the filing. That would give the company the richest valuation in a U.S. technology IPO since Facebook. Snapchat offers a lot of creative tools like Lenses, Geofilters, and Bitmojis that allow our community to express themselves through Snaps. The company will be traded on the New York Stock Exchange under the ticker symbol "SNAP".

Following the IPO, Snap will have a dual class stock structure consolidating control among a few key executives, like many of its Silicon Valley peers. Meanwhile, Snapchat's user gains are slowing.


Popular
  • Apple beats analyst expectations in first quarter earnings report

    Apple beats analyst expectations in first quarter earnings report

    Samsung shipped 77.5 million smartphones worldwide in Q4 2016, dipping 5 percent annually from 81.3 million units in Q4 2015. He also said revenue from services grew strongly over a year ago , thanks to record customer activity on the App Store.
    Habeas Petition Challenges Refugee Executive Order as Unconstitutional

    Habeas Petition Challenges Refugee Executive Order as Unconstitutional

    In response to the executive order, Iran's foreign ministry suggested the country will limit issuing visas to American tourists. The three women became part of a massive evening protest of more than 1,000 people in terminal four of JFK Airport.
    Nadal advances to set up showdown with Raonic

    Nadal advances to set up showdown with Raonic

    Czech Republic's Karolína Plíšková beat home favourite Daria Gavrilova 6-3, 6-3 to set up a tie with Mirjana Lučić-Baroni. The day sessions concludes with 11th seed David Goffin taking on 15th seed Grigor Dimitrov .
  • The Donald Trump Phone Call That Sent Australian Media Into Overdrive

    The Donald Trump Phone Call That Sent Australian Media Into Overdrive

    Trump had agreed to honour the deal. "I received the assurance that I did [on the resettlement deal] from the president himself". Turnbull insisted today that relations between the diplomatic partners were strong despite reports that Trump had berated him.
    US to Develop System Ensuring Immigrants Embrace American Values

    US to Develop System Ensuring Immigrants Embrace American Values

    It's not the imagery one might expect from a President who promised to bring private sector competency to governing. So in short, the courts will decide if Trump's immigration order or his other executive orders are legal.
    Falcons linebacker 'grew up being a Patriots fan'

    Falcons linebacker 'grew up being a Patriots fan'

    In retrospect, it was the Eagles' finest performance of the season, even better than their Week 3 victory over the Steelers. Two players to watch this Sunday are Atlanta wide receiver Justin Hardy, and Duron Harmon for New England.
  • Snapchat unveils $3bn IPO details

    Snapchat unveils $3bn IPO details

    Snap Inc., the parent company behind Snapchat, has today filed the relevant documents for their initial public offering (IPO). The lawsuit was originally filed by an individual in February 2013 against Snap's predecessor entity.
    Australian Open final: Roger Federer and Rafael Nadal renew rivalry

    Australian Open final: Roger Federer and Rafael Nadal renew rivalry

    The US Open champion won 20 of a possible 26 points to crush Federer in the third set and take the early break in the fourth. He was right about his run and his victory, a 6-4, 3-6, 6-1, 3-6, 6-3 win that gave him his 18th Grand Slam singles title.
    Serena Williams and Venus Williams to meet in Australian Open final

    Serena Williams and Venus Williams to meet in Australian Open final

    Venus is vying for her eighth major title and her first since winning Wimbledon in 2008. "But I'd like to keep that going". Serena won her Semi-Final match later against Mirjana Lucic-Baroni at 6-2, 6-3, Business Insider said .
  • Samsung Galaxy Tab S3 reveal teased for MWC 2017

    Samsung Galaxy Tab S3 reveal teased for MWC 2017

    Please bookmark 1redDrop.comto keep tabs on the hottest, most happening tech and business news from around the world . What separates the next iteration is the screen which is supposed to feature a curved display with minimal bezels.
    Deadline for health care sign-ups in January  31

    Deadline for health care sign-ups in January 31

    Reversing the Affordable Care Act , however, would affect nearly 20 million people now utilizing "Obamacare", including students. States would also be able to choose, however, to either accept part of the act's funding or to refuse all federal assistance.
    [ January 29, 2017 ] Trump withdraws from TPP Nation & World

    [ January 29, 2017 ] Trump withdraws from TPP Nation & World

    Established on January 1, 1995, the World Trade Organization has 164 members, including the US and its newest member, Afghanistan. In a matter of days, he has already managed some big changes in United States trade policy without the approval of Congress.

CONNECT