Anthropic Plans $64 Billion IPO, Potentially Largest Retail Investment
Anthropic is set to launch a $64 billion IPO that may draw unprecedented retail investment, according to Vanda Research.
NEW DELHI, Nov 12: Anthropic has announced plans to raise up to $64 billion in its upcoming initial public offering (IPO), which could value the company at approximately $1.4 trillion. This offering marks the first stock market debut by a leading AI model developer and signals the sustainability of AI spending in the U.S. economy.
According to its filing with the U.S. Securities and Exchange Commission, Anthropic plans to sell 825 million shares priced between $70 and $78 each, under the ticker symbol “ANT.” Seven technology companies, including Google, Nvidia, AMD, and Microsoft, have committed to purchasing $26 billion of non-voting shares at the IPO price.
Although initial estimates for the IPO suggested it could raise up to $100 billion, the actual target is lower. Even at the high end of its price range, it would not surpass the record set by SpaceX, which raised $86 billion with a valuation of $1.77 trillion in June.
The listing is expected during the week of November 16, with shares likely to start trading on November 19. Market analysts, including Art Hogan from B. Riley Wealth Management, view Anthropic’s IPO as one of the key events investors have been anticipating, alongside SpaceX and possibly OpenAI in the near future.
Anthropic’s IPO arrives amid increased scrutiny on AI technologies. The company addresses the inherent risks associated with advanced AI systems in its filing, warning of potential catastrophic societal impacts if such technologies are not responsibly developed and regulated. The company also faces political and regulatory challenges due to its outspoken views on AI safety and regulation.
The governance structure proposed in the IPO filing indicates that co-founders, led by CEO Dario Amodei and President Daniela Amodei, will maintain over half of the voting power post-listing, ensuring major decisions remain unaffected by external investors.