Investors Snap up the wrong stock In a case of mistaken identity, potential investors in Snap Inc, the company behind Snapchat, just caused a windfall for a tiny start-up instead.
When Snap made the details of their IPO public on Feb 2, it caused a flurry of excitement. Potential investors began snatching up shares in SNAP Interactive Inc, which rose by 164-percent in four days, according to Bloomberg
The one problem? SNAP Interactive has nothing to do with Snapchat.
SNAP is a communication software start-up based in New York. It specializes in creating online chat rooms, like Camfrog, Tinychat, and Paltalk. A mutual desire to find new ways for people to communicate is the only thing the two companies have in common.
SNAP has so far been silent on their newfound popularity. Their last press release was about integrating a dating feature into one of their apps.
Snap Inc, meanwhile, said in its SEC filing that it plans to put its shares up for sale “as soon as practicable.”