Snap, formerly known as Snapchat and backed by Alibaba, Tencent and Yahoo, is preparing an offering that could value it at $25bn and take place as early as March.

Snap, the instant messaging and video platform formerly known as Snapchat, is preparing for an initial public offering that could value it at up to $25bn, the Wall Street Journal reported yesterday.

The company, which is backed by investors including e-commerce group Alibaba, is preparing the paperwork and could float as early as March 2017 but is yet to appoint underwriters, according to several people familiar with the matter.

Founded in 2011, Snap began life as an app famous for…