Figma Considers Initial Public Offering After Blocked Adobe Acquisition

Figma, a leading cloud-based design platform, is in discussions with investment banks about an initial public offering (IPO) that could take place in 2025. This move follows the failure of Adobe’s $20 billion acquisition attempt in 2023 due to regulatory intervention. The company, led by CEO Dylan Field, had previously accepted Adobe’s offer, but antitrust concerns from U.S. and European regulators led to the deal’s cancellation, resulting in Adobe paying a $1 billion breakup fee.

After the failed acquisition, Figma raised new funding at a $12.5 billion valuation from investors like Coatue and General Catalyst. The company has since focused on expanding its product lineup, including AI tools, an online whiteboard tool (FigJam), a presentation software (Figma Slides), and even a custom keyboard for designers.

The IPO trend is growing among tech firms, as seen with CoreWeave, Discord, and StubHub, which are also considering public offerings. Figma’s global user base is strong, with over 85% of weekly active users outside the U.S. and more than half of its revenue coming from international customers. With over 1,400 employees and offices in major cities worldwide, Figma aims to reach beyond designers, as two-thirds of its customers identify as something else, including software developers.