Duolingo Inc has hiked the price range for its upcoming initial public offering (IPO) that could see the language-learning app achieve a market value of at least US$3.4bn.
In an SEC filing on Monday, the company said it will be pricing its IPO shares at between US$95-US$100 each, up from US$85-US$95 previously. The firm is planning to offer around 5.1mln shares in the IPO, through which it could raise as much as US$510mln and potentially achieve a market cap of US$4.6bn.
Duolingo, which confirmed its IPO intentions in June, is planning to list on the Nasdaq under the ticker ‘DUOL’ and use the proceeds of the fundraising for working capital as well as to “acquire or make investments in businesses, products, offerings, and technologies”.
In its IPO filing, Duolingo reported 39.9mln monthly active users (MAUs) in the three months to March 31, 2021, up from 33.5mln a year ago, as well as daily active users of 9.5mln compared to 6.8mln in 2020.
The group, which offers lessons in around 40 languages ranging from Spanish to Esperanto, also flagged a jump in paid subscribers in the quarter to 1.8mln from 1.1mln the year before.