Siasun Robot&Automation's investor Wealthfront (WLTH.US) plans to IPO and raise $485 million, reaching a valuation of $2 billion.

The U.S. automated investment service company Wealthfront (WLTH.US) and some of its shareholders are planning to raise $485 million and plan to list on the Nasdaq stock market. According to the filing submitted to the U.S. Securities and Exchange Commission (SEC) by the company on Tuesday, the company plans to sell 21.47 million shares, while some of its shareholders will sell 13.15 million shares, with the stock price set at $12 to $14 per share. The offering is being led by Goldman Sachs Group, Inc. and J.P. Morgan. Based on the number of shares issued listed in their filing, at the upper end of this range, Wealthfront's market value will be approximately $20.5 billion. According to the filing, funds managed by BlackRock, Inc. and Wellington Management may purchase up to $150 million of the initial public offering stock. Wealthfront is best known for its automated investment products and an online platform that has attracted young clients. This fintech company also offers banking-like services, including high-yield savings accounts. According to the filing, as of July 31st, their platform assets totaled $88.2 billion. Wealthfront's competitive advantage lies in its automated, low-cost portfolio management, tax-loss harvesting, direct indexing, and high-yield cash management accounts, services that are favored by a young generation who value digital experiences (Millennials and Gen Z). The company focuses on serving "digital natives," a group expected to accumulate significant wealth in the coming years, with enormous long-term growth potential. According to previous filings, the company had revenue of $176 million and net profit of $60.7 million in the six months up to July 31st, compared to revenue of $146 million and net profit of $132.3 million in the same period last year. The net profit for the six-month period up to July 31st includes a provision of $13.3 million for income tax, while there was a tax benefit of $54.1 million in the same period in 2024. The filing shows that Wealthfront's adjusted EBITDA increased by 16% year-over-year. In 2022, UBS Group AG agreed to acquire Wealthfront for $1.4 billion to expand its high net worth client base, but the deal was abandoned by the end of that year. According to an announcement in June, Wealthfront had secretly submitted an application for an initial public offering. The company's investors include Tiger Global Fund (holding 19.7% stake, holding shares before the IPO), DAG Ventures (holding 12.3%), and Index Ventures (holding 11.5%).