Kayak Set for IPO
More than a year and a half after filing for an IPO estimated at $50 million, Kayak is finally preparing to go public.
The company will sell 3.5 million shares of its class A stock, and anticipates the share price to be between $22 and $25 per share, according to the company's most recent S-1 filing with the SEC.
Based upon a median share price of $23.50 per share, the company plans to net $72.7 million from the IPO after deducting the financial services costs of going public. Kayak--a website that allows users to compare airfare and hotel prices across several sites--said in the filing that it plans to use the money for working capital and "general corporate purposes."
In the first quarter of 2012, Kayak says, it generated more than $73 million in revenue. That's a 39% increase from the 2011 first quarter, when revenue was more than $52 million, according to the document.
Kayak spokeswoman Jessica Casano-Antonellis declined to comment on the public offering and instead directed attention to the company's S-1 filing and video used for its investor roadshow.
Kayak was one of many technology companies that reportedly postponed plans to go public following the fumbled Facebook IPO; the social networking giant experienced technical difficulties on its first day of trading and had a subsequent 30% drop in share price.
The travel site originally announced plans to go public in November 2010. In February of that year, Inc.'s Liz Welch spoke with Paul English, the company's co-founder.