US games platform Roblox will go public via a direct listing rather than through an initial public offering.

Reuters reported that the company changed its plans after it successfully raised $520 million in a Series H funding round, at a valuation of $29.5 billion.

The impressive valuation comes at a crucial time for the company and is actually more than seven times the $4 billion valuation it received last year, during its Series G funding round.

Back when its public plans were first announced, Roblox aimed to double its previous valuation of $4 billion to $8 billion.

Public party

Initially, Roblox was said to be going public via an IPO, which it officially filed for in November 2020. However, rumours of a public offering first began to swirl in October.

Last month, the company pushed back its public plans until early 2021—the reason being that Roblox sought to get a higher IPO pricing.

Through a direct listing, Roblox will not sell any shares in advance, as is common practice with an IPO. Rather, orders coming into the stock exchange will determine the cost of shares.