Anthropic sets IPO price range of $70 to $78 per share to reach an implied valuation of $1.404 trillion

Anthropic, the developer of the Claude AI, has set an IPO price range of $70 to $78 per share, aiming for an implied valuation of $1.404 trillion. The company plans to offer 825 million Class A shares, which could raise between $57.75 billion and $64.35 billion. If the shares list at the top of the price range, the company could be worth $1.404 trillion, a significant increase from its $965 billion valuation in a May fundraising round.

Anthropic also announced a private sale of $26 billion of non-voting Class N stock to AMD, Broadcom, Google, Micron, Microsoft, Nvidia, and TSMC, with Google and Nvidia each investing $10 billion. The firm estimates net proceeds of $84.6 billion to $93.7 billion. Underwriters, such as Goldman Sachs and Morgan Stanley, have the option to purchase up to 123.75 million additional shares at the IPO price.

As a public benefit corporation, Anthropic's founders have 50.1% voting power, while the Long-Term Benefit Trust will control the majority of board seats, limiting Class A buyer influence. The company will begin trading on the Nasdaq on November 19 under the ticker symbol "ANT." Anthropic reported a net loss of $104 billion in the nine months leading up to the IPO, with compute and infrastructure commitments totaling $900.9 billion.

The company holds nearly $132 billion in cash and short-term investments. OpenAI, Anthropic's primary competitor, was recently valued at $1.25 trillion after raising $11 billion.