Bloomberg, citing classified sources, reported that Robinhood plans to go public in June. The company itself does not comment on this information. As a reminder, Robinhood filed for an IPO back in March.
Meanwhile, recently, the company announced other important news regarding the IPO. The Robinhood app now has an IPO Access tool that will allow retail investors to participate in an IPO at the offering price.
Robinhood will receive shares not from the companies that plan to go public, but from the investment banks organizing the placement, explains CNBC. The first IPO that Robinhood users will be able to participate in will be the placement of FIGS, a manufacturer of medical apparel. Robinhood will sell 1% of its shares.
Access to an IPO at the placement price is a product that will surely be in demand among Robinhood users and will become an important source of revenue for the company. Global Technologies Private Portfolio investors have purchased Robinhood private share in June 2020. The current yield of the investment is 261.8%.