Reddit, the widely regarded front page of the internet, experienced a remarkable debut on the stock market, with its shares surging nearly 70% from their initial public offering (IPO) price on Thursday. The social media platform, renowned for its vibrant communities and user-generated content, opened trading significantly above its initial offering, valuing the company at an impressive $8.87 billion.

The San Francisco-based company priced its IPO at $34 per share, resulting in a market value of $6.4 billion. The IPO raised $748 million. Advance Publications, the parent company of Condé Nast and Reddit's largest shareholder, is positioned to benefit significantly from the IPO.

Reddit's journey to this point has not been without its challenges. The platform's decision to go public followed a period of speculation and delay, partly due to the volatile stock market environment. Despite a valuation of $10 billion in a private funding round in 2021, the IPO valued the company at less than this figure.

Reddit, established in 2005, features a wide range of user-generated content and communities. Its IPO included a reservation of 8% of the shares for its users, board members, and employees.

The company's future focus includes monetization strategies, as it has yet to report an annual profit. The performance of Reddit's shares post-IPO and its strategy for profitability are anticipated to be key factors in its ongoing market evaluation.