Figma Files IPO, Issues 37 Million Shares After Adobe Acquisition Flop

Collaborative design platform Figma has filed for an IPO targeting a $16.4 billion valuation, Reuters reports. The cloud-based design firm is getting ready to list on the New York Stock Exchange in a bid to ride the surging tech listing wave.

Share Pricing

Figma filed for a 37 million shares’ IPO, each priced between $25 and $28. The company is offering a total of 12.47 million shares. The California-based software company is also looking to raise $1.03 billion from the sale of close to 37 million shares. In a last year tender offer that enabled investors and employees to cash out part of their stake, Figma’s valuation stood at $12.5 billion

Figma’s US listing comes close to a year after the company’s $20 billion acquisition by Adobe flopped due to regulatory hurdles in the UK and Europe. The design company will start trading barely a month after the stablecoin company, Circle. The crypto company’s debut at the stock market was characterized by significant gains and its stocks have continued to soar.

Figma is considered a key technology player that tends to support Bitcoin. This positioning has caused it to attract significant attention on social media. As of March 31st, Figma’s investment in Exchange Traded Funds through Bitwise Bitcoin was estimated to be about $70 billion. Figma’s IPO filing shows that the company plans to boost its investment in Bitcoin by around $39 million.

Capitalizing on Collaborative Features

As a cloud-based design platform, Figma enables users to create and edit websites, applications, and software interfaces collaboratively. It serves a wide range of customers, including Workday, SAP, and ServiceNow. Figma’s Q1 2025 revenue surged by 46% while its net income increased threefold.

“Figma’s product is its primary marketing engine. Its collaborative nature fosters viral, bottoms-up adoption, leading to a best-in-class sales efficiency,” Theory Ventures founder Tomasz Tunguz said.

The cloud-based design software company plans to list under the symbol ‘FIG’. Strong debuts into the US stock market, coupled with an equities rally, have helped to boost the IPO tech market. Underwriters of Figma’s initial public offering include Goldman Sachs, Morgan Stanley, and JPMorgan. Figma’s listing on the stock market is happening at a time when the industry is experiencing a shift.

Focus on AI

As Figma seeks to capitalize on the bullish market conditions, investors will be seeking to see how the company rides the AI wave. The cloud-based design platform must demonstrate that it can leverage the power of generative AI to grow its revenues in the coming years. Figma has also indicated that it might be partnering with M&A in this area. The CEO and co-founder of M&A Dylan Field said his company is ready to “make decisions that may not seem immediately rational.”

“We’re already investing heavily in AI and we plan to double down even more in this area. AI spend will potentially be a drag on our efficiency for several years, but AI is also core to how design workflows will evolve going forward,” Field said in a letter to investors.

In 2024, Figma generated most of its revenues from customers outside the United States. This points to growing demand for its products among its international clients. With the US government introducing import tariffs this year, the company’s business might suffer if customers outside the US tighten their spending in response to the tariffs.

Trade tensions could also cause investors to become more cautious of potential disruptions. Considering the current context, the Corporate Attorney at Blank Rome says investor focus remains on firms that provide clear profitability. In the meantime, the market is monitoring Figma’s offering to gauge market trends and investor sentiments