People familiar with Snap's thinking had earlier said the company would seek a valuation of up to $25 billion. Snap Inc's recent IPO suggests that it is interested in developing its hardware arm, a theory backed up by a handful of recent hires at the firm as well as the fact that Snap now refers to itself as a camera company.
Depending on the outcome of their roadshow - which is set to be held under the "SNAP" ticker - shares for Snap Incorporated could be priced as early as March 1.
It will offer 145 million new shares and sell 55 million from existing share owners, with an expected price range of $14 to $16, the documents filed with the Securities and Exchange Commission showed. Scheduled gatherings include an event in New York City next Tuesday. Last year, Snap finished with total losses topping $500 million, higher than the $373 million lost in 2015.
By the fourth quarter, average daily active user growth fell below 50 per cent in those three months for the first time since at least 2014, according to the deal prospectus.
Snap issued those shares for almost $31, but in October it gave each of its shareholders an extra share for every one they owned, cutting the value of all in half.
Selena Gomez drops new song, disses Bieber
However, the 24-year-old did her bit to support her beau by picking up the tab - which TMZ .com report was almost £24,076. Because Justin Bieber is 22-years-old and still hasn't learned to have any freaking chill.
Snap said it plans to use the IPO funding for "general corporate purposes, including working capital, operating expenses, and capital expenditures", according to the filing.
"As a result, Mr. Spiegel and Mr. Murphy, and potentially either one of them alone, have the ability to control the outcome of all matters submitted to our stockholders for approval, including the election, removal, and replacement of directors and any merger, consolidation, or sale of all or substantially all of our assets", the regulatory filing reads.
The 18-to-34-year-old demographic of the Snap user base, initially envied by industry peers, has also become a double-edged sword for Snap.
The value placed on a possible Snap Inc IPO has varied wildly, but now the company has revealed it will be at least $19.5bn, which would still rival the largest U.S. tech IPO ever. The company posted an annual loss of $514 million in 2016.