Design software startup Figma disclosed on Tuesday the confidential submission of its documentation for an Initial Public Offering. Further details will remain undisclosed until the paperwork is made public, which, under optimal circumstances, is anticipated within approximately one month.

However, because the stock market is not changing much and reacts badly to every new change in the Trump administration's trade rules and taxes, trying to have an IPO now is surprising, even just to explore the idea. Klarna and StubHub, two big tech companies that were planning IPOs and doing well last month, both stopped their plans in early April after the stock market fell because of the news about taxes. They have not yet made new plans.

Although Figma is preparing for an Initial Public Offering (IPO), this does not indicate it will follow the conventional schedule, which typically involves a four to six week period after the confidential documentation has been approved.

Figma, a provider of collaborative software and web applications for designers, was most recently assessed at a value of $12.5 billion in May 2024, following a tender offer that enabled existing shareholders to divest a portion of their holdings. Adobe's bid to acquire Figma for $20 billion was unsuccessful in 2023 due to regulatory opposition to the transaction in Europe and the United States.

The company is supported by venture capital firms like Sequoia Capital, Index Ventures, Greylock, and Kleiner Perkins. Some investors from these firms are also on the company's board. Many other groups, such as Andreessen Horowitz and IVP, also support the company.

Figma refrained from offering further commentary.