Anthropic Prices IPO at $70 to $78 a Share, Valuing It Up to $1.4 Trillion

Anthropic set a price range of $70 to $78 a share for its initial public offering, the company said in a statement launching its roadshow on Monday. At the top of the range, the offering would value the maker of the Claude chatbot at about $1.4 trillion on a fully diluted basis.

Anthropic plans to sell 825 million Class A shares on the Nasdaq Global Select Market under the ticker ANT, with 801.4 million shares coming from the company and 23.6 million from existing stockholders, according to the filing. Underwriters led by Goldman Sachs and Morgan Stanley have a 30-day option to buy 123.75 million additional shares. The company expects to price the offering on November 18 and begin trading the following day. At the top of the range, the sale would raise about $64.4 billion.

The range is a sharp retreat from Anthropic's earlier ambitions. An earlier draft filing had the company eyeing a valuation near $2 trillion as recently as September, Fortune reported. Anthropic had already been facing pressure to lower that figure, as ainewstoday.net reported in October, before a broader selloff in AI stocks added further pressure on pricing.

The IPO is pricing during a rough stretch for AI stocks. The Nasdaq fell 5.5% last week, erasing nearly $2.5 trillion in market value, a decline Fortune said was compounded by instability at Nvidia, one of Anthropic's largest strategic backers.

Seven strategic partners, including AMD, Broadcom, Google, Micron, Microsoft, Nvidia and TSMC, have agreed to buy a combined $26 billion of non-voting Class N stock at the IPO price, with Google and Nvidia each committing $10 billion, the filing showed. Those commitments mean some of Anthropic's own chip and cloud suppliers will also sit among its earliest public shareholders.

Anthropic's business has grown quickly even as its losses have widened. Third-quarter revenue reached $17 billion and nine-month revenue totaled $33.2 billion, but the company posted a nine-month net loss of $104 billion, TechCrunch reported, citing the filing. Anthropic's revenue run rate hit $81 billion by the end of October, and the company held $132 billion in cash and short-term investments against $900.9 billion in compute and infrastructure commitments, the filing showed.

Anthropic's two co-founders each plan to sell about 3.4 million shares, worth roughly $250 million at the midpoint price of $74, according to TechCrunch. About a fifth of the offering has been set aside for retail investors, a larger-than-typical slice for a tech listing of this size.

Not every detail of the offering has been settled. The exact proceeds will depend on where the price lands within the range and whether underwriters exercise their option for additional shares. The company has not said how it plans to close the gap between its compute commitments and its current losses. If the offering prices within the stated range, it would rank among the largest technology listings in years, and one of the clearest tests yet of investor appetite for AI companies after last week's selloff. Anthropic has not said whether it expects demand to push the final price toward the top or bottom of its stated range.