Reddit hires former Snap executive Drew Vollero as first CFO
What's the story
Reddit, the internet discussion platform riding high on unprecedented growth, has roped in former Snap Inc. executive Drew Vollero as its first Chief Financial Officer (CFO). The appointment comes amid speculations that the company is mulling to roll out its Initial Public Offering (IPO). Vollero will assume the leadership of Reddit's finance team starting later this month. Here are more details on this.
Details
'A tremendous addition'
"Drew is an industry thought leader who brings a track record of building a global finance organization for high growth companies," Steve Huffman, the co-founder and CEO of Reddit, said in an official statement. "He will be a tremendous addition to our executive team, as Reddit continues accelerating our business and user growth," Huffman added.
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However, there is no specific timeline yet
Reddit is presently laying the groundwork to launch its IPO but it has no specific plans or a timeline on going public yet, Huffman recently told the New York Times in an interview.
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Vollero had exited Snap Inc. in 2018
Vollero had exited Snap Inc. in 2018, after which he joined the security staffing firm Allied Universal as CFO. Earlier, he was a division CFO and later SVP of corporate development, strategy and investor relations at the toy company Mattel. Vollero reportedly holds a bachelor of arts degree in math and economics from Yale University and a master's degree in management from Oxford University.
Growth
Reddit planning to double headcount this year
The news about Vollero's appointment comes a month after Reddit raised $250 million in new growth funding, giving the company an estimated valuation of $6 billion. The company also reportedly plans to double its headcount in 2021, from about 700 to 1,400 employees. The firm has said that advertising revenue in the fourth quarter rose as much as 90% year-over-year.
Context
Reddit involved in recent stock-hyping controversy
The company's reported entry to the public markets arrives after the website recently grabbed news headlines over stock-hyping activity on one of its discussion forums - WallStreetBets. It had led to swings in the shares of GameStop, AMC Entertainment, and some other mid-sized companies. The company has claimed that the forum did not violate any of its policies.