Anthropic sends banks email on nearly $70 billion IPO, then recalls; here's what went wrong in the details shared in the email
Dario Amodei-led Anthropic has retracted back its IPO details the company sent to banks on November 9. As stated in a Reuters report, an Anthropic representative sent a copy of a securities filing to banks that shows that the AI company plans to sell about 867 million shares at a price range of $70 to $80 per share and eventually raise nearly $70 billion. However, Anthropic sent a follow up email saying details about the pricing were inaccurate, adding that it will update the filing later.
What the email Anthropic sent to banks said about IPOThe first email, whose details were later retracted, indicated that Anthropic planned to offer 866.7 million Class A shares through an IPO and secondary sale. Of these, 843.3 million shares would be issued by the company, while existing shareholders would sell 23.3 million shares. At the upper end of the proposed price range, the offering would generate $69.3 billion.
It separately showed that the company had lined up $26 billion in investments from some of the world’s biggest technology companies alongside its IPO. As started in the Reuters report, Google, Nvidia, Advanced Micro Devices (AMD), Broadcom, Micron Technology, Microsoft and TSMC had agreed to participate in the private placement of Anthropic’s Class N common stock at the IPO price.
Anthropic’s valuation dropsAccording to a CNBC report last week, Anthropic investors expect the company to target a valuation between $1 trillion and $1.5 trillion – a noticeable step down from the $2 trillion figure floated in recent months. The report came after the US midterm election results, in which Democrats swept to victory, winning control of both the House of Representatives and the Senate in a major setback for President Donald Trump and the Republican Party.
Founded by CEO Dario Amodei and a group of researchers who broke away from OpenAI, Anthropic has long tried to position itself as a safety-conscious company that takes AI’s risks and benefits seriously. It is best known for building the Claude family of AI models, which it sells mostly to other businesses.
What the email Anthropic sent to banks said about IPOThe first email, whose details were later retracted, indicated that Anthropic planned to offer 866.7 million Class A shares through an IPO and secondary sale. Of these, 843.3 million shares would be issued by the company, while existing shareholders would sell 23.3 million shares. At the upper end of the proposed price range, the offering would generate $69.3 billion.
It separately showed that the company had lined up $26 billion in investments from some of the world’s biggest technology companies alongside its IPO. As started in the Reuters report, Google, Nvidia, Advanced Micro Devices (AMD), Broadcom, Micron Technology, Microsoft and TSMC had agreed to participate in the private placement of Anthropic’s Class N common stock at the IPO price.
Anthropic’s valuation dropsAccording to a CNBC report last week, Anthropic investors expect the company to target a valuation between $1 trillion and $1.5 trillion – a noticeable step down from the $2 trillion figure floated in recent months. The report came after the US midterm election results, in which Democrats swept to victory, winning control of both the House of Representatives and the Senate in a major setback for President Donald Trump and the Republican Party.
Founded by CEO Dario Amodei and a group of researchers who broke away from OpenAI, Anthropic has long tried to position itself as a safety-conscious company that takes AI’s risks and benefits seriously. It is best known for building the Claude family of AI models, which it sells mostly to other businesses.
Next Story