California high school makes $24M in Snapchat IPO

While all of Snap’s IPO shares were nonvoting Class A stock, Spiegel and Murphy also own millions of additional shares that allow them super-voting power and near-absolute control of the company.

The company will reap about $2.3 billion in net proceeds from the sale of 200 million shares of Class A common stock.

Earlier on Friday, CNBC reported that Snap’s stock allocation to NBCUniversal appeared to be the only one made to a new strategic investor, which would make it the lone USA media company with a stake.

Benchmark Capital, Lightspeed Venture Partners, and General Catalyst are among the investors that planned to sell shares.

Snap’s stock price is now hovering around the $27 mark.

That pricing values the five-year-old company, based in Los Angeles, at $24 billion. Snap’s new drone experiment gives us a sneak peak in to the innovations that the company could come up with in the future.

Goldman Sachs and Morgan Stanley led Snap’s offering, and Goldman Sachs is also the stabilisation agent, tasked with ensuring the first day of trading goes smoothly.

Snap, owner of the Snapchat, has priced its shares for listing on the U.S. stock market at $17 per share, Reuters has reported.

The pricing also means that Snapchat will officially be the biggest US tech company to go public since Facebook in 2012.

Snap had on Wednesday priced its stock at $17, giving the company a valuation just short of $24 billion. Snapchat is best known for disappearing messages.

Snap’s initial success on the public market-and the jump in Spiegel and Murphy’s fortunes-is likely a welcome sign for the 16 billionaires in the United States whose fortunes are tied to highly valued unicorn startups, including Uber, Airbnb, Palantir and Stripe. Snapchat has 158 million daily active users, most of whom are people in their teens, 20s and early 30s.

Snap lost $514 million a year ago on $404 million in revenue.

“The school’s investment in Snap has matured and given us a significant boost as we continue our work towards realising the bold vision and goals”, Simon Chiu, the school’s president wrote.