Groupon is taking another step toward its IPO. The company is reported to be going on the road next week to woo potential investors. The next step, of course, is sealing the deal and listing. As the big day approaches, let’s take a look at the key details you need to know about the Groupon IPO:
1. How much of the company? Groupon is only putting 10 per cent of its stock on the chopping block. While this might be due in part to market volatility, it does also reflect an IPO trend this year of companies doing smaller offerings (Zillow, Pandora and LinkedIn took this route).
2. How much is it worth? Well, the investing public will decide that on the big day, of course. Until then, it looks like Groupon will be offering at a valuation of below $12.5 bn. This is a far cry from the $30 bn ambitions the company had at the start of the IPO process.
3. How much will Groupon get? According to the Wall Street Journal, Groupon could raise between $500 mn and $700 mn in fresh capital.
Source: Wall Street Journal