Back in February, Robinhood faced intense criticism after prohibiting users from buying shares of GameStop and AMC after a group of Reddit users appeared to collaborate to skyrocket prices and purchase many shares in a short squeeze.
Trading app Robinhood announced on Tuesday in a blog post that it has confidentially filed for an IPO.
The numbers of shares that will be offered for sale to the public is yet to be determined.
‘Confidentially’ filing for an IPO allows a company to avoid disclosing its immediate financial details, while, however, still being subject to do that at a later point so that the investors can assess the company’s prospects and risks.
Back in February, the trading app was heavily criticised for preventing its users from purchasing shares of GameStop and other companies that had their prices propelled as independent Redditors gave the impression of cooperating to squeeze hedge funds who who ‘shorted’ those stocks in expectation of a drop in share prices.
Having faced backlash over the move, Robinhood CEO Vlad Tenev apologized during a House hearing for the way his company had addressed the volatile price of the stock.
Sourse: sputniknews.com
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