Regardless of a January that noticed an inflow of corporations trying to go public by way of an IPO or merger with a blank-check firm, Roblox’s deliberate direct itemizing will not be becoming a member of them any time quickly.
The corporate’s direct itemizing has been delayed as soon as once more because the SEC seems into how the corporate acknowledges income, Reuters reported. The postponement is one more setback for the online game platform developer and its much-anticipated public debut.
Roblox had anticipated its shares to debut on the New York Inventory Alternate in February, based on an SEC submitting. In early January, the corporate introduced its intention to hunt a direct itemizing after it raised $520 million. That Collection H spherical co-led by Altimeter Capital and Dragoneer catapulted Roblox’s valuation to $29.5 billion, a greater than sevenfold improve from its $4 billion valuation final February, based on PitchBook knowledge.
This is not the primary time Roblox’s public itemizing hopes had been placed on maintain. In December, the corporate put the brakes on its preliminary public providing plans as a result of it needed to protect towards an outsized first-day share worth pop, which was a dramatic characteristic of debuts when Airbnb and DoorDash went public in December. That led Roblox to alter its plan to go public by way of a direct itemizing as an alternative of a conventional IPO.
The SEC’s evaluation is reportedly primarily based on issues about how Roblox acknowledges income from the sale of Robux, a foreign money used on its platform by gamers to purchase items like garments, weapons and avatars.
Associated learn: The remarkable rise of Roblox