Has Facebook reinvigorated the IPO market? Here are a few tech companies racing to go public--and what you should know about them.
On Friday, Facebook raised a record-setting $18 billion in its IPO, placing its value at a staggering $104 billion. Not bad for a start-up founded just eight years ago in a 19-year-old's dorm room. While the company's IPO has helped plenty of its investors get very rich very fast, it has also set the scene for several other companies to go public.
In the last year, there have been several Silicon Valley darlings to go public; Yelp, Zillow, Pandora, and LinkedIn, just to name a few. Facebook's IPO will certainly cast a long shadow against the next wave of tech companies waiting to hit the markets. The question, of course, is whether the IPOs will live up to their hype.
Here's a look at a few tech companies that have filed their S-1 documents in preparation to go public.
The hotel and flight booker had originally filed to go public in November, but market conditions held the IPO at bay. Riding the coattails of Facebook's IPO, the company has expressed renewed interest in going public; Last week the company announced it planned to raise $150 million at a $1 billion valuation. Back in 2010, the company reported revenues of $128 million, 140 employees, and local websites in 14 countries outside the United States.
Founded by PeopleSoft veterans Dave Duffield and Aneel Bhusri, Workday provides business management and HR software to thousands of businesses in the form of dashboard analytics. The company's revenue exceeded $300 million in 2011, according to AllThingsD, and the company is estimated to be worth around $2 billion. In April, the Workday hired Goldman Sachs and Morgan Stanley to lead its initial public offering, and has already raised $250 million in venture capital.
If you've ever connected to the WiFi on a transatlantic flight, chances are you've used GoGo. The Itasca, Illinois-based company filed to go public in December, 2011, hoping to raise $100 million. Founded in 2008, the company now has nearly 500 employees and earned over $113 million in revenue in 2011.
This San Diego-based company, headed by CEO Frank Slootman, filed to go public in late March 2012, hoping to raise $150 million. The firm, which offers IT management cloud services to small and medium-sized businesses, was founded in 2003 and now has MORE THAN 730 employees. The company earned nearly $50 million in revenue in 2011, but is saddled with about $150 million in debt and liabilities from capital expenses.
This photostock service, which was founded as the personal photography website for its CEO, Jonathan Oringer, plans to raise $115 million in its public offering. Taking on photo industry giants like Corbis and Getty, Shutterstock plans to use its IPO capital for human and working capital, and, according to its filing, "to acquire or invest in complementary companies, products, or technologies." With 167 employees based from its New York office, the company earned $120 million in revenue in 2011.
Though you've probably never heard of them, E2open is a huge supplier of cloud-based software companies use to aid in their supply chain process. Based in Foster City, California, the company has about 330 employees and earned nearly $60 million in revenue in 2011. One Network Enterprises based in Dallas is a major competitor, but E2open services about 30,000 companies, 88,000 users and is growing; A few notable clients include Boeing, Cisco, Dell, IBM, and Xerox.