OpenAI is in talks to sell existing employees’ shares at an $86 billion valuation, according to people with knowledge of the matter.
The artificial intelligence startup behind ChatGPT is negotiating the transaction, known as a tender offer, with potential investors, said the people, who asked not to be identified discussing confidential information. The firm hasn’t finalized allocations and terms could still change, some of the people said.
OpenAI, which counts Microsoft Corp. as a 49% owner, is led by Chief Executive Officer Sam Altman and President Greg Brockman. At $86 billion, it would leapfrog the likes of Stripe and Chinese online retailer Shein to become one of the world’s most valuable closely held companies, behind Elon Musk’s SpaceX and TikTok parent ByteDance.
A representative for San Francisco-based OpenAI declined to comment.
The company is on track to generate $1 billion of annual revenue as businesses adopt the technology, Bloomberg reported in August.
Last month, the Wall Street Journal reported that OpenAI was discussing a potential share sale that would value the startup at $80 billion to $90 billion.
A former Alabama investment advisor and ex-Kestra rep has been permanently barred and penalized after clients he promised to protect got caught in a $2.6 million fraud.
As more active strategies get packaged into the ETF wrapper, advisors and investors have to look beyond expense ratios as the benchmark for value.
Survey finds AI widely embedded in research and analysis, but barely touching portfolio construction or trade execution.
Two firms land teams managing more than $1.1 billion in combined assets from Kestra and Edward Jones.
A private partnership, Edward Jones is a giant in the retail brokerage industry with more than 20,000 financial advisors.
Wellington explores how multi strategy hedge funds may enhance diversification
As technical expertise becomes increasingly commoditized, advisors who can integrate strategy, relationships, and specialized expertise into a cohesive client experience will define the next era of wealth management
