Groupon (GRPN) IPO Prices at $20, Worth $12.7 Billion
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Groupon (Nasdaq: GRPN) priced its highly-anticipated 35 million share IPO at $20 per share, which was well above the expected $16-$18 range but below the $21 some had discussed in the market. The share size was increased by 5 million.
The IPO price and raised share count suggests demand for the new issue was strong despite recent controversy amid a change in accounting methods, a slowdown in growth and an onslaught of competition.
Goldman Sachs, Morgan Stanley and Credit Suisse are leading the underwriting.
Groupon has granted the underwriters a 30-day option to purchase up to an additional 5,250,000 shares of Class A common stock to cover over-allotments, if any.
The total number of Class A and B shares that will be outstanding following the offering will be 632,803,328 shares. This suggests a market cap of approximately $12.7 billion if shares open at $20.
The company posted revenue of $1.1 billion for the first nine months of this year, up from $140.7 million for the first nine months of last year. The company posted a loss of $308.1 million in the current 9-month period versus a loss of $77.7 million in the same period last year.
Groupon will be released on NASDAQ for quotation Friday at 10:25 ET and trading at approximately 10:40. This time is subject to change.
The IPO price and raised share count suggests demand for the new issue was strong despite recent controversy amid a change in accounting methods, a slowdown in growth and an onslaught of competition.
Goldman Sachs, Morgan Stanley and Credit Suisse are leading the underwriting.
Groupon has granted the underwriters a 30-day option to purchase up to an additional 5,250,000 shares of Class A common stock to cover over-allotments, if any.
The total number of Class A and B shares that will be outstanding following the offering will be 632,803,328 shares. This suggests a market cap of approximately $12.7 billion if shares open at $20.
The company posted revenue of $1.1 billion for the first nine months of this year, up from $140.7 million for the first nine months of last year. The company posted a loss of $308.1 million in the current 9-month period versus a loss of $77.7 million in the same period last year.
Groupon will be released on NASDAQ for quotation Friday at 10:25 ET and trading at approximately 10:40. This time is subject to change.
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