Anthropic IPO targets USD 1.3 trillion valuation as Claude chatbot maker files share sale

Anthropic set out plans for a major US initial public offering that could value the company near USD 1.3 trillion. The Claude chatbot maker flagged its target even as worries grew about heavy debt in AI. A regulatory filing on Tuesday said Anthropic planned to sell 825 million shares. The range was USD 70 to USD 78 each.

Representative image

If the IPO priced at the midpoint, Anthropic could raise more than USD 61 billion. The San Francisco company was expected to make its Wall Street debut this month. The shares were expected to list on the Nasdaq Global Select Market. Anthropic planned to trade under the ANT ticker symbol.

Anthropic IPO valuation and share pricing

Setting an IPO price involved trade-offs for companies and banks. A high price could trigger a first-day slide in trading. A low price could mean the issuer raised less cash. The filing set a price band that indicated investor demand would guide the final level. The process often shifted close to the listing date.

Anthropic could rank among the largest IPOs ever, based on the proposed size. Still, it appeared unlikely to beat SpaceX’s IPO record from June. That deal raised USD 86 billion. An Anthropic listing would also place it ahead of OpenAI in going public. That could shape two major debuts by rival AI developers.

"For tech and AI, this is the first time a US frontier lab carries a standalone public market price, uncluttered by an ad business or a rocket business, Dan Ives, partner and senior managing director at Yorkville Ives & Co., wrote.\"

Anthropic IPO and AI sector finances

The IPO could provide Anthropic with large funds for expansion. It could also add billions to the wealth of CEO Dario Amodei. Daniela Amodei, co-founder and sister of Dario Amodei, could also benefit. Investors were weighing this against rising concern about losses across AI companies.

A regulatory filing last month said Anthropic’s revenue climbed to more than USD 16 billion. That figure covered the first half of the year. It was 14 times the revenue from the same period last year. The company still had not posted a profit, a pattern seen in other tech IPOs.

Anthropic formed in 2021 and was started by former OpenAI leaders. The company competed directly with OpenAI for leadership in advanced AI. Competition also came from Google and newer startups in the US and China. SpaceX also competed through an AI business. These firms spent heavily on computing and other resources.

Anthropic IPO amid AI stocks and interest rates

Losses at Anthropic, OpenAI and SpaceX’s AI division fed fears of an AI bubble. Wall Street saw a sharp sell-off last week led by firms tied to AI data centre buildouts. AI-related shares also swung for months. Moves followed the US Federal Reserve’s September rate hike. It was the first increase in three years.

Borrowing worries rose again on Tuesday after a hotter US inflation reading. The data increased expectations that the Fed could raise rates more aggressively. Larger hikes could further lift funding costs for AI projects. These projects often relied on large capital outlays. That backdrop arrived as Anthropic prepared for its market debut.

Anthropic IPO and AI safety warnings

Dario Amodei warned in September that the AI industry should slow its fast-moving development. Dario Amodei said safety steps needed time to keep pace. Without a slowdown, Dario Amodei warned AI could release many agents. Dario Amodei said they could take over the entire internet within six to 12 months.

Dario Amodei also published a plan on a website to tighten industry checks. Dario Amodei said Anthropic was already handling part of this effort. Dario Amodei added that wider steps would need joint action. That coordination would involve the industry and governments around the world, including authoritarian ones.

With the proposed share sale and pricing range, Anthropic moved closer to a Nasdaq listing under the ANT symbol. The offering could deliver one of the largest IPOs on record, though below SpaceX’s USD 86 billion raised in June. Investors were also weighing rate pressures and sector losses. The filing left the final pricing to market demand.

With inputs from PTI