Etsy Could Be The Next Big E-Commerce IPO

Online arts & crafts marketplace Etsy reportedly plans to hold an initial public offering as soon as this quarter, according to Bloomberg. The company is working with Goldman Sachs and Morgan Stanley to raise about $US300 million from the IPO.

Based on company data charted for us by BI Intelligence, Etsy’s gross merchandise volume may have broken $US2 billion in 2014, and has grown fast over the last five to six years. Etsy’s revenue comes from the 20% fee it gets for each product listed, and it also takes a 3.5% cut of each sales transaction. The last major e-commerce company to go public was Alibaba, which raised $US25 billion during its record-breaking IPO in September.

NOW WATCH: Tech Insider videos

Want to read a more in-depth view on the trends influencing Australian business and the global economy? BI / Research is designed to help executives and industry leaders understand the major challenges and opportunities for industry, technology, strategy and the economy in the future. Sign up for free at