Snap Inc., the recently appointed parent company of Snapchat, is reportedly moving forward with the intent of making its debut on the stock market in early 2017. Sources familiar with the matter tell Reuters that Snapchat has confidentially filed with the Securities and Exchange Commission under the U.S. Jumpstart Our Business Startups (JOBS) Act which allows companies with less than $1 billion in annual revenue to do so in secret.
According to the publication, Snapchat will be valued at $20 billion to $25 billion when it goes public.
Snapchat got its start in 2012 as an ephemeral messaging app and has been instrumental in the rapid rise of messaging apps in general. A study by Nielsen last year found that on any given day, Snapchat reaches 41 percent of all 18 to 34 year-olds in the US. According to its advertising page, more than 100 million people now use Snapchat every day, watching over 10 billion videos per day.
As Reuters points out, investors up to this point have been concerned with the fact that Snapchat’s advertising sales are its only major source of revenue. That may no longer be the case, however, as the company in September unveiled video-capturing glasses that went on sale just last week through a vending machine tour across the US.
Due to their extremely limited nature, we're seeing the $130 Spectacles selling for as much as $1,000 on eBay.