Cheyney Group Marketing
Cheyney Group Marketing: GoDaddy's IPO to raise $418m
Web registrar GoDaddy has announced plans to make an Initial Public Offering (IPO) that will raise them USD 418 million and increase their market capitalization to almost USD 3 billion.
GoDaddy has filed for an IPO last year with the "GDDY" ticker symbol but it has yet to set an exact date for the IPO. The internet company based in Arizona which offers webhosting and domain registration has updated its filing last week with the Securities and Exchange Commission, according to Cheyney Group Marketing.
Around 61 million Class A and 90.4 million Class B stocks are expected to remain with the company after its public offering. Each share will range from USD 17 to USD 19, and with about 22 million stocks planned to be offered, the company has the potential to gain USD 2.88 billion in market capitalization.
This is not the first time the internet company has planned to go public though -- it was first rumored to have an IPO 6 years ago but it did not go through. Then in 2011, Technology Crossover Ventures, Silver Lake Partners and Kohlberg Kravis Roberts & Company acquired the firm which was valued at that time at USD 2.25 billion.
Should it successfully go through with listing on the NY Stock Exchange, it's reported to be valued now at almost USD 3 billion. However, since an IPO opens up a company's financial condition, it was revealed that GoDaddy lost USD 143 million out of its USD 1.4 billion revenue in 2014.
Experts from Cheyney Group Marketing are in agreement that 2015 is still a good year for internet firms to go public, and with the brand recognition that GoDaddy already has, it could prove to be popular with investors.
Since it was founded as Jomax Technologies in 1997, it has served around 12.7 million clients. It currently manages almost 60 million domains, making it the largest web registrar in the world.