Digital asset platform Robinhood has just announced the starting price for its shares during the company’s planned IPO is $38.
If the shares eventually reach this price, the company will attract around $1.89 billion during its initial public offering and its valuation will jump to $32 billion.
According to the company, it will start trading its shares on the NASDAQ today under the ticker HOOD.
Robinhood is expected to offer 55 million Class A common shares, of which 52.375 million are held by Robinhood and 2.625 million by existing investors.
We must take into account that the shares placement will close on August 2 and that underwriters will have 30 days to buy an additional 5.5 million shares at the set IPO price.
The company has reported it will use the raised funds to “fund working capital, recover capital expenditures, fund anticipated tax liabilities related to equity settlement, and for general corporate purposes, including recruiting new staff, expanding customer support operations and meeting general capital needs.”