Snowflake Inc.’s initial public offering (IPO) isn’t just creating new fortunes; it’s also adding to the wallets of some of Silicon Valley’s elite.
A multifamily office comprising notable figures like Mark Zuckerberg, Reid Hoffman, and Jack Dorsey invested heavily in Snowflake before its IPO. Purchased for $245 million in 2017, their stake grew significantly: at the IPO price of $120 per share, it was valued at over $4 billion. By early afternoon on Wednesday, this investment had grown to an impressive $8.3 billion.
Snowflake’s IPO has been a boon for tech titans like Mark Zuckerberg and Jack Dorsey.
Cloud computing has emerged as a secular trend, with companies like Zoom, DocuSign, and Datadog already benefiting from its growth. Bloomberg Intelligence analyst Mandeep Singh emphasized that investors are drawn to the cloud business model, making high-growth companies like Snowflake highly attractive.
Elon Musk’s wealth has surged alongside Snowflake’s IPO. This year alone, Jeff Bezos, Elon Musk, and Mark Zuckerberg collectively own stakes worth $115 billion—doubling their investments in the past year. Berkshire Hathaway, managed by Warren Buffett, has also shown interest, investing an additional $250 million at the IPO price.
Buffett’s involvement has further amplified institutional interest in Snowflake. His firm’s investment is expected to more than double by lunchtime.
The success ofSnowflake’s IPO continues to excite investors and tech enthusiasts alike.
This content is intended for informational purposes only, and should not be considered as financial advice.