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Design software company Figma is planning to offer about 12.47M class A common shares priced in the range of $25 to $28 per share in its IPO on the New York Stock Exchange.
The San Francisco-based company said in a regulatory filing on Monday that selling stockholders are offering about 24.46M shares in the IPO.
Figma is targeting a fully-diluted valuation of up to $16.4B, according to a report from Reuters.
In 2022, Adobe (NASDAQ:ADBE) tried to acquire Figma for $20B. However, the deal ran into regulatory scrutiny globally, and the companies ultimately scrapped the merger, which resulted in Adobe paying Figma a $1B breakup fee.
The company said it expects the net proceeds from the sale of shares at an assumed initial public offering price of $26.50 per share, which is the midpoint of the offering price range, to be about $305.9M.
Figma intends to use the net proceeds from the offering, together with cash on hand, to repay a $330.5M outstanding debt under a revolving credit facility, which it intends to borrow to pay its anticipated tax withholding and remittance obligations related to an RSU Net Settlement.
The company intends to use remaining net proceeds, if any, for working capital and other general corporate purposes.
Figma noted that it will not receive any proceeds from the sale of class A common stock by the selling stockholders.
The underwriters have a 30-day option to buy up to an additional 5.54M shares from certain of the selling stockholders to cover over-allotments.
Figma added that after the completion of the offering, Dylan Field, its chair of board, CEO, and president, will hold or have the ability to control around 73.6% of the voting power of the company’s outstanding capital stock.
The company plans to list its class A shares on the NYSE under the symbol FIG.