Gaming platform operator Roblox is targeting March 10 for its direct listing on the NYSE, culminating a long and rocky road to the public market.
- Roblox originally planned to go public through a traditional IPO late last year, but delayed the offering over concerns of volatility in the IPO market, which saw year-end blockbuster debuts from Airbnb and DoorDash.
- It later postponed the plans a second time, reportedly due to scrutiny from the SEC over how the company records revenue from the sale of Robux, its in-game currency. As a result of the probe, Roblox adjusted its reporting methodology, leading to higher revenue and narrower losses.
- In January, the gaming company raised $520 million led by Altimeter Capital and Dragoneer Investment Group at a $29.5 billion valuation. At the same time, it pivoted to a direct listing in lieu of an IPO.
- Roblox's largest outside shareholders include Altos Ventures, which owns 23.6% of its Class A shares, followed by Meritech Capital (11.2%) and Index Ventures (10.8%).