TUESDAY, 21 AUG 2018

 

CONNECT

Facebook Linked In Twitter
INB_1000_Eng_03/08-15/11_728x90px
GloriaJeans_266x90px
IMH LTD

Prodromou: Prudent Fiscal Management Will Lead To Better Days For Greeks

Aspris: Passenger Traffic Hits Record Numbers At Larnaca Airport On Sunday

IMH LTD
GAP_Group_2018_468x60px

INTERNATIONAL

brought to you by CIPA

Dropbox IPO Valuation Set between $7bn and $8bn

Dropbox IPO Valuation Set between $7bn and $8bn

The silver lining appears to be coming off Dropbox, the cloud storage company set to go public next week.

On Monday 12 March, the company set terms for its initial public offering (IPO) that values the company at between $7bn and $8bn – well below the $10bn valuation when the company had raised private capital in 2014.

Dropbox’s IPO is one of the most closely watched stock offerings in years and comes as a stable of so-called unicorn tech companies – those valued at over $1bn – consider going public.

Another unicorn – music streaming service Spotify – also plans to go public soonbut has eschewed the IPO route and will sell its shares directly to the public. It is likely to be valued at more than $20bn.

Uber, valued at $48bn last year, is considering going public in 2019. Airbnb, valued at $30bn, recently moved to tamp down expectations that it will go public this year but still looks set to start the sale process in the near future. Tech news site TechCrunch lists 279 unicorns with a total valuation of $1tn.

The sale will be the largest since Snap Inc, owner of the Snapchat app, made its stock market debut in March 2017. That sale has worried investors – its share price is now slightly higher than its $17 IPO price after reaching a high of $27.

Dropbox, which is used by more than 500 million people, allows users to share and collaborate on files stored online. It was founded in 2007 by MIT computer science students Drew Houston and Arash Ferdowsi. Houston, 35, is the company’s CEO and largest shareholder with a stake of about 25%. Ferdowski, 32, owns about 10% of the company.

The pair, along with investors Sequoia Capital and T Rowe Price, will keep control of the company even after the sale. As has become common with tech IPOs two classes of shares are being issued. Dropbox is selling Class A shares to the public which will represent 2% of the vote while the Class B shares held by the founders and early investors will account for 98% of votes.

The company filing also revealed that the corporate investment group of Salesforce.com will buy $100m shares in a private placement. Salesforce, a cloud computing company, is an investor in Dropbox and the two have a strategic partnership. The cloud storage company set the pricing well below the $10bn valuation when the company had raised private capital in 2014, the Guardian reports.

The company’s roadshow, where executives and bankers will market the deal to investors, begins on Monday with meetings in New York and in Boston later this week.

Dropbox’s shares are scheduled to begin trading late next week and will be listed on the tech-heavy Nasdaq exchange under the symbol DBX.

MORE ON INTERNATIONAL

Sky Expects to Pay Advisers On Fox Deal Up to $123.7 Million in Fees

Sky said on Monday 20 August that it expected to pay its advisers between 90 million ...

Trump Accuses China for 'Manipulating' Its Currency

US President Donald Trump has again accused China of manipulating its currency to combat ...

EC: Greece Begins a New Chapter following the Conclusion of its Stability Support Programme

Greece has successfully concluded a three year European Stability Mechanism (ESM) ...

FROM AROUND GOLDNEWS

   

Sky Expects to Pay Advisers On Fox Deal Up to $123.7 Million in Fees

Sky said on Monday 20 August that it expected to pay its advisers between 90 million pounds and 97 million pounds ($123.7 million) if Twenty-First Century Fox ...
   

Price Index of Construction Materials Records Increase in July 2018

The Price Index of Construction Materials for July 2018 reached 100.95 units (base year 2015=100,00), recording an increase of 0.46% compared to June 2018. ...
   

4th International Compliance Forum: Managing Key Risks faced by US Correspondent Banks

Bank of Cyprus, in collaboration with IMH and GOLD magazine are presenting The 4th International Compliance Forum on Friday, 5 October 2018 at the Hilton Park ...
   

Trump Accuses China for 'Manipulating' Its Currency

US President Donald Trump has again accused China of manipulating its currency to combat US tariffs. The accusation, made in an interview with Reuters, ...
   

Industrial Turnover Index Records Increase In May 2018

The Industrial Turnover Index for May 2018 reached 104.8 units (base 2010=100), recording an increase of 11.7% compared to May 2017.   According to the ...
   

Turnover Value Index in Transport and Storage records increase in 2nd Quarter 2018

The Turnover Value Index of Transport and Storage for the second quarter of 2018 recorded an increase of 7.7% compared to the corresponding quarter of 2017. ...
   

Dr. Symeon Christodoulou Elected EC³ Chairman For Next Three Years

Dr. Symeon Christodoulou, Professor at the Department of Civil and Environmental Engineering of the University of Cyprus, has been elected Chairman of the ...
   

Aspris: Passenger Traffic Hits Record Numbers At Larnaca Airport On Sunday

A total of 253 flights, which carried 47,000 passengers, were handled by the authorities at Larnaca International Airport on Sunday 19 August, Hermes Airports ...
 

YOUR COMMENTS

HEADLINES

MOST POPULAR

Deloitte_2016_300x250px
Gold_Issue_300x250px

IMH LTD