Wealthfront announces plans for IPO and Nasdaq listing

Wealthfront is set to launch the initial public offering (IPO) of its common stock and list its shares on the Nasdaq Global Select Market under the WLTH ticker symbol.

The digital wealth management firm filed a registration statement with the US Securities and Exchange Commission (SEC) on Form S-1 for the public offering.

Wealthfront targets a valuation of up to $2.05bn, and aims to raise $485m by offering 34,615,384 shares priced between $12 and $14 per share, reported Reuters.

Among the total shares being offered, 21,468,038 will be issued by Wealthfront, while 13,147,346 will be offered by existing stockholders.

The company will not receive any proceeds from the shares sale by stockholders.

This offering is subject to the effectiveness of the registration statement filed with the SEC, and no sales or offers will be accepted until it becomes effective.

Additionally, Wealthfront is offering underwriters a 30-day option to buy an extra 5,192,308 shares at the IPO price, less underwriting discounts and commissions.

Goldman Sachs & Co and JP Morgan are serving as lead book-running managers, while Citigroup, Wells Fargo Securities, and RBC Capital Markets are the active book-running managers for the proposed IPO.

Also, Citizens Capital Markets, Keefe, Bruyette & Woods, A Stifel Company, and KeyBanc Capital Markets are acting as co-managers.

Founded in 2008, Wealthfront is a tech-driven financial platform that offers investing, borrowing, cash management and financial planning solutions.

The company leverages automation to offer low-cost diversified portfolios, and its platform is said to enable rapid, convenient delivery of solutions.

In January 2022, Swiss private banking giant UBS signed a deal to acquire Wealthfront for up to $1.4bn in cash, which was mutually terminated later that year.

"Wealthfront announces plans for IPO and Nasdaq listing " was originally created and published by Private Banker International, a GlobalData owned brand.

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