Robinhood selected Nasdaq as the exchange for its final IPO, according to sources familiar with the situation.
The company has not yet applied for listing.
The stock trading app has lowered the barrier to entry for millions of retail investors, setting the stage for one of the biggest public debuts of the year.
It is unclear whether Robinhood chose a direct listing or a traditional IPO, sources said. Regardless of the method, Robinhood will file an S-1 with the US Securities and Exchange Commission (SEC). Typically, it takes companies one to two months to debut on the exchange after they file with the SEC.
Robinhood advises Goldman Sachs on IPO matters.
Robinhood, a securities and other exchange-traded asset trading service with a long-standing mission to “democratize” investing, is seen as the main gateway for young investors to enter the markets.
After a record rally during the Covid-19 pandemic, the stock trading app preferred by millennials found itself at the center of a scandal in January amid a short squeeze in GameStop stock, which was fueled in part by retail investors controlled by Reddit. However, the Robinhood brand did not appear to be hurt as stock rates soared ahead of the IPO due to GameStop mania.
JMP Securities estimates that Robinhood added 3 million users in January alone.
New York-based D1 Partners, Sequoia Capital, Kleiner Perkins and Google Venture Capital (GV) are some of Robinhood’s largest venture capitalists.