(Reuters) – Social media platform Reddit Inc, whose message boards became central to meme stock trading frenzy in 2021, is tapping Wall Street banks Morgan Stanley and Goldman Sachs Group for its initial public offering, Bloomberg News reported on Friday, citing people familiar with the matter.
Reddit, which said it had confidentially filed for an initial public offering in December, is aiming for a valuation of over $15 billion at the time of its flotation, sources had previously told Reuters.
Reddit was valued at $10 billion in a private fundraising round led by Fidelity Management in August.
The company’s plans are not final and details including timing and valuation could change, the report said.
Reddit and Goldman Sachs did not immediately respond to Reuters requests for comment. Morgan Stanley declined to comment.
Reddit’s message boards, especially its WallStreetBets thread, were at the heart of a pitched battle between small-time traders and some of the big Wall Street firms, helping drive big gains in highly shorted shares of companies such as GameStop and AMC, while popularizing the term meme stocks.
(Reporting by Chavi Mehta in Bengaluru; Editing by Shailesh Kuber)