Feeds

Groupon worth 'as much as $25 billion'

Er, can we get a coupon for the IPO?

Remote control for virtualized desktops

Online daily-discount provider Groupon is rumored to be talking with banks about a public offering that would value it at as much as $25bn.

According to "two people with knowledge of the discussions", Bloomberg reports, the IPO would be "unlikely to assign Groupon a valuation of less than $15 billion", with $25bn being the upper limit.

If that higher figure is reached, it would put Groupon's value above that of Google's when the online ad broker and search-engine leader went public in 2004 for a piddling $23bn. Those early Google investors didn't make out too shabbily, though: as markets closed on Thursday, Google's market capitalization stood at $179.5bn.

Last November, Google was rumored to be mulling an aquisition of Groupon in a deal said to be worth $5bn. Shortly thereafter, however – after the bidding was said to have reached $6bn – Groupon nixed the deal.

As Bloomberg points out, however, Groupon has grown by leaps and bounds since that offer. At the time of Google's wooing, the daily-discount leader was active in 300 markets. That number has since ballooned to 500.

To put that $15bn to $25bn figure in perspective, The Reg checked out the market capitalization of 10 established companies, both in the tech sector and elsewhere. At the end of Thursday's trading, the New York Times Company was worth about $1.3bn; AMD, $5.6bn; Seagate, $6.3bn; Harley-Davidson $9.5bn; Nvidia $10.3bn; Intuit, $15.4bn; Adobe, $16.2bn; Yahoo!, $21.4bn; General Mills, $23.1bn; and Dell, $27.4bn.

Is a two-year-old coupon-pusher worth four or five times as much as the world's second-largest microprocessor maker and 12 to 20 times as much as The Gray Lady? We should find out sometime this year, when Groupon is expected to join the publicly traded crowd. ®

Internet Security Threat Report 2014

Whitepapers

Why cloud backup?
Combining the latest advancements in disk-based backup with secure, integrated, cloud technologies offer organizations fast and assured recovery of their critical enterprise data.
A strategic approach to identity relationship management
ForgeRock commissioned Forrester to evaluate companies’ IAM practices and requirements when it comes to customer-facing scenarios versus employee-facing ones.
How to determine if cloud backup is right for your servers
Two key factors, technical feasibility and TCO economics, that backup and IT operations managers should consider when assessing cloud backup.
Reg Reader Research: SaaS based Email and Office Productivity Tools
Read this Reg reader report which provides advice and guidance for SMBs towards the use of SaaS based email and Office productivity tools.
Choosing a cloud hosting partner with confidence
Download Choosing a Cloud Hosting Provider with Confidence to learn more about cloud computing - the new opportunities and new security challenges.