"Reddit Plans $748M IPO, Redditors Can Sell Shares Immediately"

Reddit plans to sell around 22 million shares priced between $31 to $34 in its upcoming IPO, potentially raising up to $748 million at a valuation of nearly $6.5 billion. The company will allow its community members to sell their shares immediately, setting up the possibility for Reddit to become a meme stock, similar to the GameStop short squeeze of 2021. Redditors who created an account before Jan. 1, 2024, are potentially eligible to participate in the directed share program, with 8% of Reddit’s Class A common stock being offered to eligible users, moderators, board members, and others. The move could lead to extreme volatility in the market price and trading volume of Reddit's stock, as acknowledged by the company in its S-1 filing.