Anthropic targets $1.4 trillion valuation in massive stock market debut

The maker of Claude is looking to raise up to $64.4bn in one of the largest IPOs in history next week.

Anthropic is seeking a valuation of $1.4 trillion for its upcoming IPO, with the company looking to raise as much as $64.4bn in what would be one of the largest stock market debuts in history.

The company, which makes the Claude AI chatbot, launched its investor roadshow on Tuesday, with reported plans to go public next week.

Recommended Stories

list of 4 items

• list 1 of 4Why AI could threaten much of the world’s digital infrastructure
• list 2 of 4How the US midterm elections reflected resistance to data centres
• list 3 of 4US chipmaker Nvidia investigates CEO Jensen Huang over affair
• list 4 of 4Australia tightens AI oversight rules after OpenAI government breach

end of list

According to its filing with the United States Securities and Exchange Commission (SEC) on Tuesday, Anthropic plans to offer 825 million shares priced between $70 and $78, giving it a valuation of up to $1.4 trillion when potential shares are included.

It has also secured $26bn in a separate private placement backed by some of the world’s largest tech companies, including Google, Nvidia, Microsoft and AMD.

The listing is being closely watched as a major test for how much investors are still willing to bet on AI companies, which have driven huge gains in tech stocks and the broader US market.

The $1.4 trillion valuation is lower than earlier estimates, which had suggested Anthropic could be valued between $1.5 trillion and $2 trillion, as concerns grow about the company’s enormous infrastructure spending and recent swings in AI stock prices.

Those concerns extend beyond Anthropic, with investors increasingly questioning whether AI companies can make enough money to justify their soaring valuations and sustain the boom.

Despite the uncertainty, Anthropic’s growth has been explosive.

The company credits its growth to the demand for Claude, including from industries like healthcare, financial services and legal services.