The company had net income of $60.7 million on revenue of $175.6 million for the six months ended July 31
by Anthony Hughes, Natalia Kniazhevich and Georgie McKay
Wealthfront Corp. and some of its shareholders raised $484.6 million in an initial public offering, after shares in the robo-advisory firm priced at the top of the marketed range.
The Palo Alto, California-based company sold 21.5 million shares and the backers sold 13.1 million shares at $14 apiece, according to a statement Thursday. The stock was marketed for $12 to $14 each, according an earlier filing. The IPO was multiple times oversubscribed.
At the IPO price, Wealthfront would have a market value of around $2 billion based on the outstanding shares listed in its filing. Funds run by BlackRock Inc. and Wellington Management had agreed to buy as much as $150 million in aggregate of IPO shares.
The listing plan comes as companies look to squeeze their IPOs into the final weeks of 2025, after the US government shutdown prompted some candidates to hold off. The regulator is working through a backlog after the shutdown ended in November.
Wealthfront is best known for its automated investing products and an online platform that’s attracted younger customers. The fintech also offers other bank-like services, including high-yield savings accounts. It had around $88.2 billion of platform assets as of July 31.
The company had net income of $60.7 million on revenue of $175.6 million for the six months ended July 31, compared with net income of $132.3 million on revenue of $145.9 million a year earlier, according to an earlier filing.
Net income in the six-month period to July 31 included a $13.3 million provision for income tax, versus a tax benefit of $54.1 million in the corresponding period in 2024, the filing shows. Wealthfront’s adjusted earnings before interest, taxes, depreciation and amortization increased 16% year over year.
The IPO follows a number of other fintech firms making their debuts this year, including Klarna Group Plc and Chime Financial Inc. Auto finance platform Lendbuzz Inc. and insurance tech firm Ethos Technologies Inc. have also filed for potential listings.
UBS Group AG agreed in 2022 to acquire Wealthfront for $1.4 billion to broaden its high-net-worth customer base, but abandoned the deal later that year.
Wealthfront had previously filed confidentially for an IPO, according to an announcement in June. The company’s investors include Tiger Global, which has a 19.7% stake before the offering, DAG Ventures with 12.3% and Index Ventures with 11.5%, the filing shows.
The offering was led by Goldman Sachs Group Inc. and JPMorgan Chase & Co. The shares are set to begin trading Friday on the Nasdaq Stock Market under the symbol WLTH.
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