Snowflake is prepping for an initial public offering (IPO) and it could have the cloud data storage company bringing in $2.7 billion.
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Here’s what investors need to know about the Snowflake IPO.
- Details about the IPO were revealed by the company in a filing with the U.S. Securities and Exchange Commission on Tuesday.
- In that filing, the company says it plans to sell 32.2 million shares of its stock to investors.
- It would also include an option for underwriters to purchase an additional 4.2 million shares of its stock.
- The stock will be listed on the New York Stock Exchange under the “SNOW” stock ticker.
- The company hopes to price the shares for as much as $85 each in the IPO.
- The filing mentions that the company is hoping to price its shares of SNOW stock between $75 per share and $85 per share.
- In total, Snowflake expects to raise about $2.74 billion from the IPO.
- Snowflake also points out that it has entered into an agreement with Salesforce Ventures and Berkshire Hathaway (NYSE:BRK.A,BRK.B) for the IPO.
- That will have each of those companies purchasing a total of $250 million worth of its Class A shares.
- Class A shares will hold one vote each and Class B shares will be worth 10 votes each.
- The IPO will result in Class B shareholders controlling 98.4% of the voting power at the company.
- Of that 98.4%, leaders at Snowflake will control 70.1% of the voting power.
On the date of publication, William White did not have (either directly or indirectly) any positions in the securities mentioned in this article.
