FILE PHOTO: Morning sunlight falls on the facade of the New York Stock Exchange (NYSE) building after the start of Thursday's trading session in Manhattan in New York City, New York, U.S., January 28, 2021. REUTERS/Mike Segar/File Photo
NEW YORK (Reuters) -CoreWeave, the artificial intelligence startup backed by Nvidia, is planning to ask investors to pay $47 to $55 for each of its shares when it begins marketing its initial public offering this week, people familiar with the matter said on Wednesday.
The price range, which has not been previously reported, would translate into an offering of $2.3 billion to $2.7 billion for CoreWeave, the sources said, requesting anonymity as the discussions are confidential.
CoreWeave could possibly raise this range before the IPO prices should investor demand prove strong, said the sources.
CoreWeave did not immediately respond to requests for comment.
Founded in 2017, CoreWeave provides access to data centers and high-powered chips for AI workloads, mainly supplied by Nvidia. It competes against cloud providers such as Microsoft's Azure and Amazon's AWS. Its customers include big tech companies such as Meta, IBM and Microsoft.
In its IPO filing earlier in March, CoreWeave reported revenue of $1.92 billion in 2024, compared with $228.9 million a year earlier. Its net loss widened to $863.4 million during the same period, from $593.7 million in 2023. Roughly two-thirds of its revenue came from Microsoft.
Morgan Stanley, JPMorgan Chase and Goldman Sachs are the lead underwriters for CoreWeave's stock market flotation. Shares are expected to trade on the Nasdaq under the symbol CRWV.
(Reporting by Echo Wang in New York; Editing by Anirban Sen, Chris Reese and Daniel Wallis)
