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Anthropic’s IPO range tops out at a $1.4tn valuation, with chipmakers buying in

An updated SEC filing sets Anthropic's IPO at $70 to $78 a share, up to $1.404tn fully diluted, against $965bn in its last private round, TechCrunch reports.

Anthropic’s IPO range tops out at a $1.4tn valuation, with chipmakers buying in
Photo: Suicasmo / Wikimedia Commons, CC BY-SA 4.0

Anthropic has set a price range for its stock market debut that values the company at up to $1.4tn, the Financial Times reported on Tuesday under the headline that the company raised its valuation target. The terms appear in an updated filing with the US Securities and Exchange Commission.

The figures below come from TechCrunch’s reading of that filing. The filing itself, an amended S-1 on the SEC’s site, was too large for us to open in full, so we have not checked each number against the document.

Nvidia's Santa Clara headquarters with its white steel canopy and Nvidia sign under a blue sky.
Photo: Coolcaesar / Wikimedia Commons, CC BY-SA 4.0

The terms: 825 million shares at $70 to $78

According to TechCrunch, Anthropic plans to sell 825 million Class A shares at $70 to $78 each. That would raise between $57.75 billion and $64.35 billion before costs, which matches the multiplication of share count and price. At the top of the range, the company would be worth $1.404 trillion on a fully diluted basis.

TechCrunch says the stock is set to list on Nasdaq under the ticker ANT, with trading expected to start close to November 19. Up to 20% of the offering is reserved for retail investors, and underwriters hold an option to buy up to 123.75 million more shares at the IPO price. Including that option and a separate private sale, TechCrunch cites estimated net proceeds of $84.6 billion to $93.7 billion.

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Chip and cloud partners buy $26bn of non-voting stock

The filing also describes a concurrent private sale of $26 billion in non-voting Class N stock at the IPO price, according to TechCrunch. The buyers it lists are AMD, Broadcom, Google, Micron, Microsoft, Nvidia and TSMC. Several of these companies already supply Anthropic with chips, memory or cloud capacity, so the sale ties the suppliers of its compute directly to the company’s equity.

The comparison point is the last private round. TechCrunch puts it at $965 billion, from the funding announced in May. The Information, which reported the range the same day, described the valuation as lower than expected, though we have not seen what expectations it measured against.

What retail investors and the build-out should watch

The retail allocation matters outside the US too. We have already reported that the offering is open to UK savers through six brokers, but not on a UK exchange. A published price range gives those investors a concrete number to weigh before the deal is priced.

The proceeds also connect to Anthropic’s spending on physical infrastructure. The Financial Times earlier reported that the company bought turbines to power its data centers, a deal we covered in our report on the gas power purchase. A listing of this size would give the company a large pool of capital for that kind of build-out, although the sources we read do not say how the money will be split between uses.

This is a range, not a final price. The share price, the amount raised and the valuation can still change before the offering is priced, and the trading date is described as expected rather than fixed. The figures here are second-hand from press coverage of the filing, and Anthropic has not, in anything we could read, commented beyond the document itself.

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Alex CarterAI News & Big Tech Correspondent

Alex Carter writes for Aiholics, keeping readers updated on the fast-paced world of AI and Big Tech.

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