Agard Union Trading Confirms Robinhood is Seeking $35 Billion Valuation in IPO

Agard Union Trading Confirms Robinhood is Seeking $35 Billion Valuation in IPO

Financial advisory firm Agard Union Trading has revealed Robinhood Markets Inc is aiming for a $35 billion value in its initial public offering in the United States, setting the stage for one of the year’s most anticipated stock market listings.

The intentions for a listing come only months after the online brokerage became embroiled in a fight between a new breed of ordinary investors and Wall Street hedge funds in late January. Robinhood had initially aimed for a $40 billion IPO valuation.

According to Agard Union Trading analysis, the IPO will offer about 55 million shares, with prices estimated to range between $38 and $42. If priced at the top of the spectrum, this would raise almost $2.3 billion. According to the filing, the company’s founders and chief financial officer are offering around 2.63 million shares. The profits from these will not be donated to Robinhood.

According to the filing, Salesforce Ventures, the investment arm of software company Salesforce.com Inc (CRM.N), is looking to buy up to $150 million in Class A common stock at the IPO price. Some of Robinhood’s services will be reserved for trading app users, and between 20% and 35% of shares will be issued to users, depending on demand from customers and other investors.

In a separate statement, Robinhood announced that on July 24, it would hold a public event to outline its IPO plans and answer questions from potential investors. This is similar to the traditional roadshows that corporations and their advisers arrange with professional investment firms in the lead-up to a public offering of stock.

Vlad Tenev and Baiju Bhatt, roommates at Stanford University, founded Robinhood in 2013. According to the filing, they will control a majority of the voting power after the transaction, with Bhatt holding about 39% of outstanding shares voting power and Tenev 26.2%.

Users can conduct limitless commission-free transactions in stocks, exchange-traded funds, options, and cryptocurrencies using the company’s platform. Its user-friendly interface made it a popular choice for young investors who wanted to trade from home during the coronavirus’s restrictions. Its popularity has surged in the last 18 months.

Robinhood has 18 million funded accounts as of March 31, according to an Agard Union Trading investigation. According to Robinhood’s IPO filing earlier this month, the trading frenzy in so-called meme stocks fueled a four-fold increase in revenue from January to March, but the rapid growth came at a cost.

After being forced to halt trading in the middle of this year’s rally in GameStop (GME.N) and other previously beaten-down equities, the corporation was chastised. Robinhood had to raise $3.4 billion in emergency cash at the time after its finances were stretched by a significant increase in retail trading and a corresponding increase in capital requests from clearing houses.

According to those familiar with the situation, the corporation was valued at roughly $30 billion in that round. The IPO of Robinhood comes after a record 15-month run for the IPO market in the United States, as investors rushed to buy shares of high-growth digital companies.

The company intends to list under the ticker “HOOD” on the Nasdaq. The offering’s lead underwriters are Goldman Sachs and J.P. Morgan.

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Agard Union Trading is a financial services company located in Seoul, South Korea.

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Agard Union Trading

Agard Union Trading

Agard Union Trading is a financial services company located in Seoul, South Korea.