Anthropic's $1.5 Trillion IPO Faces Skepticism

TechFlow news, Nov. 6: According to Jin10 Data, people familiar with the matter said that after the unwinding of AI-related investments triggered a sharp sell-off in equities, large investors are increasingly skeptical about whether Anthropic can proceed with an IPO at the expected $1.5 trillion valuation. Anthropic had originally planned to debut during the week of Nov. 16, and the offering is expected to raise up to $100 billion.

Three large investors planning to participate in the IPO said the valuation may need to be lowered, with one saying it could be closer to $1 trillion. Another investor said that even if the market rebounds, convincing institutional investors who were just hurt in the recent sell-off to take on significant risk again in the AI sector may be a challenge, and questioned whether Anthropic would postpone the offering; another option is that the company may raise less than expected.

People familiar with the matter said Anthropic executives and their advisers are expected to meet in the coming days to discuss IPO plans. Some said they have avoided committing to specific plans throughout the process to preserve optionality.

Source: TechFlow