Photo: Fazen via Flickr
Poor AVG Technologies. Its moment of IPO glory is being overshadowed by Facebook.Netherlands-based AVG makes antivirus software. It said it expects to sell 8 million shares at $16 to $18 apiece with a market cap of about $925 million, says Reuters. AVG Technologies will trade on the New York Stock Exchange under the symbol “AVG.”
The IPO is being led by Morgan Stanley.
It’s an odd company to take public given that competition in the anti-virus market is insane and its business model is nothing special. It’s using the age-old “freemium” tactic, where it offers a free version and then tries to get users to upgrade to a paid one, notes IT World’s Chris Nerney. It has had some success, with about 106 million active users as of September. However, given the number of PC users in the world, that’s a drop in the bucket.
AVG is up against giant, far more established players, too, like McAfee (acquired by Intel in 2010), Symantec and Trend Micro, Microsoft and a host of others including like Kaspersky Labs, Sophos and F-Secure.
Its entry into mobile device security market in the fall wasn’t a big success, either.