TechNews

4392 readers

1 users here now

Aggregated tech news.

founded 2 years ago

MODERATORS

[email protected]

[HN] Fidelity has cut Reddit valuation to $4.5B from $10B (techcrunch.com)

submitted 2 years ago by [email protected] to c/[email protected]

4 comments fedilink hide all child comments

[ comments | sourced from HackerNews ]

you are viewing a single comment's thread
view the rest of the comments

[–] [email protected] 5 points 2 years ago (1 children)

I don’t quite understand this article. It seems like more context is needed.

[–] [email protected] 16 points 2 years ago

An investment firm bought shares of Reddit (and some other privately held tech companies) at a certain value. In this instance they thought Reddit was worth ~$10 billion. This was August 2021. They now think it's only worth about half that. So they're having to update their books to indicate that they don't actually think they're holding $X of Reddit, but actually only about $0.5X of Reddit.