Home Business NewsBusiness Snapchat files for IPO that could value it at $25bn

Snapchat files for IPO that could value it at $25bn

16th Nov 16 9:58 am

What’s next for Snapchat?

The parent company of the social media app, Snap has filed to list Snapchat on the US stock market.

The hugely popular app could be worth between $20bn and $25bn (£16bn-£20bn).

This would be the highest US flotation since Chinese firm Alibaba which was listed two years ago.

Snapchat’s parent company Snap declined to comment.

The company first began in 2012, when it launched the app allowed you to send only photo and videos which would disappear in seconds. Now Snapchat has added other features such as the ability to message your friends and add filters to images and videos.

The app currently has 100m users, this is more than Twitter.

A huge 60 per cent of those using the social media platform are between the ages of 13 and 24, this makes for an appealing way for advertisers to reach young people.

The company has been able to attract major investors. However, some have questioned whether advertising sales is enough to keep revenue sustainable, the firm is branching out.

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