Reddit, a site so schizophrenic it can host a chat by President Barack Obama alongside links to cat videos and porn, attracts about 3 billion page views a month. For site that is little more than a collection of message boards, it’s insanely popular. So naturally, people want to know what the site — which is owned by Advance Publications— is worth.
According to Forbes, the number is $240 million:
Advance has recapitalized Reddit, taking the site out of its Conde Nast division and allowing Reddit employees to own a sizable minority of newly issued stock. As part of that recapitalization, Advance bought $20 million of convertible preferred stock in Reddit and put in provisions saying that if Reddit is ever sold for less than $240 million, the conversion terms will be rejiggered so that Advance comes away with a bigger slice of Reddit and employees get less.
Given that Advance bought Reddit for about $5 million in 2006, the company is staring at quite a big payoff should it ever decide to sell.