Snap as the parent company of Snapchat, plans to conduct an Initial Public Offering. IPO is scheduled to be performed on at least next March, as quoted by the Wall Street Journal (WSJ). The initial offering will reportedly contribute US $ 25 billion.
More recently, Snapchat renamed their company into Snap Inc. The decisions made by CEO Evan Spiegel gives a clear sign that this five-year old company is expanding its vision from a Snapchat app only.
Last month, Snap launched Spectacles. This is a unique camera-equipped sunglasses video. By using this device, you can instantly upload what you see to Snapchat app. This is the first time Snapchat out of their comfort zone and make a physical device. But, if you check the official website of Snap, they define themselves as a camera company.
The Snapchat app itself successfully embraced 150 million daily users. With this huge users and audiences, could be used to help the IPO into the acquisition process for the company’s virtual reality (VR) or augmented reality (AR), as noted by the Wall Street Journal.
Snap unhesitatingly touting their ambition to become a public company. “We desperately need the IPO,” said Evan was quoted as saying of a conference held last year on Recode. “We were planning it,” continued the 26-year-old CEO.
A spokesman for Snap reluctant to clarify. They called it a rumor or speculation about their financial plan, according to CNET. IPO will be an important step for the company based in Los Angeles is to compete with other giant technology companies in Silicon Valley.
Snap has rejected an offer of purchase of Facebook by at least US $ 3 million in 2013 ago. Since then, Facebook tried to imitate a popular feature of Snapchat on the Messenger service with funding support that is not small.