OpenAI pays employees $7 billion in tender offer at $852 billion valuation
This digest was compiled by AI from multiple sources — links to the originals are below.
OpenAI completed a share buyback from current and former employees for roughly $7 billion, valuing the company at $852 billion. The deal provides liquidity to staff ahead of a potential initial public offering, though no listing date has been set. The transaction comes as OpenAI confidentially filed to go public in June, with CEO Sam Altman targeting a $1 trillion valuation before proceeding.
The Employee Share Sale
OpenAI conducted the tender offer on its own, without involving outside investors, marking a departure from previous rounds that included Thrive Capital and SoftBank. The company repurchased about $7 billion in shares from current and former employees, using an implied valuation of $852 billion. That price matched the level set after a record $122 billion funding round in March 2026, which drew backing from Amazon, Nvidia, SoftBank, Microsoft, and Andreessen Horowitz. OpenAI declined to comment on the transaction.
Rising Valuation
The $852 billion valuation represents a sharp increase from $500 billion at the time of a similar employee stock sale in October 2025. Earlier, in 2024, employees sold roughly $1.5 billion worth of shares in two separate deals. The March funding round—the largest private tech investment in history—fueled the jump, reflecting soaring demand for AI infrastructure and models.
IPO Preparations
In June, OpenAI confidentially filed for an initial public offering in the United States, signaling a potential listing as early as 2026. However, The New York Times reported that CEO Sam Altman is aiming for a $1 trillion valuation before going public. If that target cannot be met, the IPO could be pushed into 2027. The tender offer allows employees to monetize their stakes ahead of any listing, reducing internal pressure for a rushed debut.
What's Next
OpenAI is expected to continue IPO preparations, but the exact timing depends on market conditions and whether the company can reach the $1 trillion valuation sought by Altman. Analysts caution that a delay to 2027 could test investor patience as the competitive AI landscape shifts rapidly.
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OpenAI pays employees $7 billion in tender offer at $852 billion valuation
