Anthropic Sets $70-$78 Price Band Per Share, Targets Trillion Dollar Listing

AI giant Anthropic has set a price range of $70 to $78 per share for its initial public offering (IPO), planning to raise up to $64.4 billion, the company said in a filing on Tuesday.

With the IPO, Anthropic is looking at a fully diluted valuation of $1.4 trillion, placing it among the world's top companies by market value.

The Anthropic IPO is shaping up to be one of the stock market debuts in history when it lists on Nasdaq, with major companies and investors also committing billions to the offering.

READ | Anthropic Launches New Models Ahead Of IPO: Claude Fable 5.2, Mythos 5.2

In its filing on Tuesday, the company behind the Claude chatbot said it will sell 825 million shares priced between $70 and $78 apiece. That would give Anthropic an opportunity to raise around $64.4 billion if the shares are priced at the upper range, while an additional $26 billion private placement from strategic investors could take the total fundraising to $90.4 billion.

The Anthropic IPO was expected to mop up around $100 billion, which would have made it the biggest public offering in history.

The separate $26 billion private placement deal will see investment from key companies including Alphabet's Google, Nvidia, and Advanced Micro Devices.

"Anthropic has applied to list its Class A common stock on the Nasdaq Global Select Market under the symbol "ANT"," the company said in a statement on Tuesday.

Apart from raising money for the company, some Anthropic founding members and executives are looking to shed around 23.6 million shares in the company, the filing further showed.

READ | OpenAI Raises $11 Billion At $1.25 Trillion Valuation

The San Francisco-based company is expected to make its Wall Street debut this month. It is being seen as a litmus test for markets, which are already on the edge over AI. According to a report by The Wall Street Journal, the shares will start trading on November 19.

Last week, investors expected the company to target a $1.5-trillion valuation. However, major investors pushed the valuation lower following a sharp selloff in AI companies on Thursday.

The listing will also come at a time when the US is still digesting the impact of the midterm elections, in which Democrats won majority control of both chambers of Congress.

READ | Bioweapons, Blackmail, Risks To Humanity In Anthropic's Pre-IPO Warning

Anthropic's revenue reached $17 billion in the third quarter, up from just $1.4 billion a year earlier, a securities filing showed earlier this month.

On Monday, the company announced it would release updated versions of two of its most powerful AI models, Fable 5.2 and Mythos 5.2, which it said can perform 30 per cent faster than previous versions.

Founded in 2021 by former OpenAI researchers, including siblings Dario and Daniela Amodei, Anthropic is the startup behind the Claude family of AI models.