California School Makes $24 Million From Snapchat IPO
A California high school has made millions of dollars from the initial public offering of shares in Snap Inc., the company behind the Snapchat photo messaging application.
The school made $24 million and says it will use the windfall for financial aid, professional development, teacher training and funding of school programs.
St. Francis High School President Simon Chiu says none of the money will be used for teachers' salaries or other labor costs.
The board of the high school in Mountain View agreed to invest $15,000 in seed money in Snap in 2012. That' when the company was just getting started.
Chiu says board members had been invited to do so by one of the student's parents, a venture capital investor.
The school held onto the investment until this week, when Snap shares sold for $17 each in an IPO.
The share price rocketed another 44 percent higher when trading began Thursday.
Chiu says none of the school's nearly 1,800 students were involved in the investment venture.
(© Copyright 2017 The Associated Press. All Rights Reserved. This material may not be published, broadcast, rewritten or redistributed.)