​Snapchat working on $25b IPO: Report

It has been reported that Snap Inc is considering the move to become a public company with a potential valuation of at least $25 billion.
Written by Asha Barbaschow, Contributor

Snap Inc, the parent company of photo-sharing app Snapchat, is reportedly working on an initial public offering (IPO) that could see the social media player public by March 2017.

According to the Wall Street Journal, the IPO could value Snapchat at around $25 billion.

Citing people familiar with the matter, the Wall Street Journal noted that there was no guarantee the company will proceed with a share sale in March or what its valuation might end up being.

Snapchat was valued at around $18 billion in August.

It was also reported around the same time that Snapchat was acquiring mobile search and discovery app Vurb for $110 million to continue its "moment" sharing through disappearing images.

The deal is believed to be 75 percent stock and 25 percent cash, with Vurb's founder and CEO Bobby Lo reportedly joining the Snapchat team.

Snapchat changed its name to Snap Inc late last month, unveiling at the same time a pair of $129 spectacles capable of recording up to 10 seconds of video using a button on the hinge of the glasses.

Social media giant Facebook went public in May 2012, with a valuation of $104 billion. Prior to this, it acquired popular photo-sharing app Instagram for $300 million and 23 million shares in April 2012, with Snapchat reportedly knocking back a $3 billion offer from Facebook a year later.

Similarly, it was reported on Thursday that Twitter has told potential acquirers that it wants to conclude negotiations to sell itself by the time it reports its third quarter earnings on October 27.

Binding acquisition offers for Twitter are due in the next two weeks and the social media giant is said to have narrowed down the list of potential acquirers, having only started to consider a sale last month.

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