(Bloomberg) -- Roblox Corp. is working with banks on an initial public offering, according to Reuters, in a move that would let the video-game developer capitalize on its surge in popularity during the pandemic.
The listing could happen in early 2021, Reuters reported, with the company aiming for a $8 billion valuation. Roblox is pondering whether to do a traditional IPO or a direct listing, according to the news service, which cited unidentified people familiar with the plans.
Founded in 2004, Roblox offers a vast array of games, which users help build. Two-thirds of all U.S. kids ages 9 to 12 use the platform, according to the San Mateo, California-based company, and it's played by a third of all Americans under the age of 16.
Read more: Kids flock to Roblox for parties and playdates
Pandemic lockdowns have only added to its allure, with kids holding virtual birthday parties and other events using the service.
Roblox declined to comment to Bloomberg on a possible IPO.
©2020 Bloomberg L.P.
Essential Business Intelligence, Continuous LIVE TV, Sharp Market Insights, Practical Personal Finance Advice and Latest Stories — On NDTV Profit.
