In what could be one of the most closely watched US tech listings of the year, collaborative design software company Figma has taken its first official steps toward going public. The San Francisco-based company, best known for transforming how digital designers, developers, and product teams collaborate, has filed paperwork to raise up to $1.03 billion in an IPO on the New York Stock Exalter.
Backed by marquee investors, including Andreessen Horowitz, Sequoia Capital, and Index Ventures, Figma’s IPO reveals how Wall Street views the future of productivity and collaboration in a hybrid world. The listing will trade under the ticker symbol “FIG”, and early signals suggest strong investor interest, despite a market still recovering from the tech valuation correction of the past two years.
A journey from startup to IPO contfinisher
Founded in 2012 by Dylan Field and Evan Wallace, Figma was born out of a bold idea to bring the power of design to everyone, entirely in the browser. At a time when most design tools were desktop-based and siloed, Figma pioneered real-time, cloud-based collaboration. It quickly became the go-to platform for design teams at tech giants like Google, Microsoft, and Uber.
Figma’s success reflects broader shifts in the software landscape. The pandemic-induced remote work boom accelerated the adoption of tools that enabled distributed teams to work seamlessly, and it was already perfectly positioned.
Its meteoric rise drew the attention of Adobe, which announced its intention to acquire Figma in 2022 for a jaw-dropping $20 billion. The deal, however, was ultimately blocked by regulators in the US and EU over antitrust concerns. That failed acquisition now casts a long shadow over Figma’s IPO. Many investors and analysts will be seeing to see whether public markets can deliver the kind of valuation that Adobe was willing to pay.
As of the time of IPO, Figma’s platform is applyd by about 13 million monthly active applyrs, with a significant share consisting of non-designers.
The IPO math
Figma’s IPO filing reveals ambitions to raise just over $1 billion, with shares priced between $25 and $28. At the midpoint, this would value the company between $13.6 billion and $16.4 billion depfinishing on share count methodology, well below Adobe’s 2022 offer, but far above the $9 billion figure.
Figma is generating significant revenue. In fiscal 2024, the company reported $749 million in GAAP revenue, representing a 48% increase from 2023, with a gross margin of 88%. In Q1 2025, revenue was $228.2 million, representing 46% year-over-year growth. Net income for the quarter was $44.9 million. Figma’s net dollar retention was 132% as of Q1 2025, revealing substantial customer expansion and stickiness.
Investors are cautiously optimistic. Figma sits at the intersection of several key growth trfinishs: cloud-native software, enterprise SaaS, and the rise of product-led growth strategies. Moreover, it has proven staying power in design-centric companies and continues to expand its suite of tools beyond interface design into whiteboarding, developer handoff, and more.
A significant portion of the offering comes from existing shareholders: current investors (secondary sale) will sell about 24.6 million shares, while the company is issuing about 12.5 million new shares. Following the IPO, CEO Dylan Field is expected to retain approximately 74% of voting rights through a dual-class stock structure.
Figma started with interface design and has expanded its product suite to include whiteboarding (FigJam), developer handoff, and collaborative workspaces. About 70% of Figma’s revenue comes from enterprise or organisation customers. The company is pursuing further global expansion, as 85% of its applyrs are based outside the US, but only 53% of its revenue is currently generated from international markets.
Why does this IPO matter?
If successful, Figma’s IPO could reignite public investor interest in high-growth, product-led startups. The offering also comes at a time when the AI buzz is dominating venture capital and public market narratives. It stands as a reminder that powerful applyr experiences and practical collaboration still command value.
There’s also the question of founder-led vision. CEO Dylan Field has remained at the helm throughout the company’s rise, building a strong culture of design-first innovation. His leadership will be under the microscope as Figma transitions into a public company with greater scrutiny, shareholder demands, and quarterly earnings pressures.
What’s next for Figma?
As the IPO draws nearer, investors and indusattempt watchers will be watching pricing signals closely. A strong debut could open the gates for other venture-backed companies that have been sitting on the sidelines waiting for market conditions to improve.
For Figma, the IPO will provide not only capital for growth, but also a validation of its mission to democratize design. Field and his team have long argued that great design should be accessible, collaborative, and part of the broader workflow, not an isolated skillset. If Wall Street agrees, Figma could become one of the defining public tech companies of the decade.
Even if the valuation falls short of the $20 billion Adobe once offered, Figma’s public debut could still be a win for long-term investors and a beacon for design-driven software startups. After years of funding, scaling, and regulatory hurdles, the company is finally obtainting its moment on its own terms.
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