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Robinhood has selected the Nasdaq as the source for its eventual IPO, according to sources familiar with the matter.
The company has not yet officially applied for listing.
The stock trading app has lowered the market entry barrier for millions of retail investors, paving the way for one of the biggest public debuts of the year.
It is unclear whether Robinhood chose a direct listing or a traditional IPO. Regardless of method, Robinhood will file an S-1 with the Securities and Exchange Commission. It usually takes a month or two for companies to debut once they file with the SEC.
Goldman Sachs advises on Robinhood’s IPO.
Robinhood – whose long-standing mission is to “democratize” investment – is seen as the main gateway for young investors to gain access to the markets.
After record growth during the Covid-19 pandemic, the millennial stock trading app found itself in the middle of a firestorm in January amid brief pressure on GameStop, fueled in part by Reddit-fueled retail investors. Robinhood’s brand appears to be intact, however, as pre-IPO stock bids speak of the GameStop mania.
According to JMP Securities estimates, Robinhood gained 3 million users in January alone.
New York-based D1 Partners, Sequoia, Kleiner Perkins, and Google’s venture capital arm GV are among Robinhood’s largest venture capital investors.
The Nasdaq and Robinhood declined to comment.