Reddit has recently become the infamous social media hub of short squeezes, and the Company is now reportedly considering an Initial Public Offering (IPO) of its own. When asked about the prospect of going public, Reddit’s Head of Policy, Safety, and Corporate Communication Sandra Chu stated, “”When the time is right, becoming a public company is a possibility for Reddit.” Friday, the Company announced the hiring of Andrew “Drew” Vollero as its first Chief Financial Officer (CFO). Vollero had previously served as Snap Inc’s (NYSE: SNAP) CFO, the parent company of Snapchat, and helped lead it to its USD 3.4 billion IPO in March of 2017. “Drew is an industry thought leader, who brings a track record of building a global finance organization for high growth companies… He will be a tremendous addition to our Executive Team, as Reddit continues accelerating our business and user growth”, said Reddit’s co-founder and CEO Steve Huffman.
Since the Wallstreetbets “meme stock” mania, Reddit now has more than 52 million daily users. The Company’s fourth quarter advertising revenue has increased by up to 90% year-over-year. Reddit has also recently secured $250 million in investments pushing the Company’ valuation up to roughly USD 6 billion. Reddit aims to use its new funding to double its current number of employees, invest in advertising and consumer products, and also potentially expand its market internationally. As Reddit works towards potentially going public, Reddit’s Sandra Chu reaffirmed the Company’s commitment to its consumers and stated, “Right now, the company is focused on maintaining that positive growth and ensuring we’re helping our users create and maintain healthy communities and providing effective advertising solutions for brands.”