Feeds

Groupon follows LinkedIn with IPO

Here we go again

  • alert
  • submit to reddit

Secure remote control for conventional and virtual desktops

Six months after it rejected a $6bn takeover offer from Google, Groupon has filed for an IPO. The Chicago-based company – which sells coupons for discounted goods and services from local merchants – hopes to raise $750m.

According to an SEC filing, Groupon's revenues topped $644.7m in the first quarter of 2011, up from $44.2m in the same quarter last year. That $644.7m figure nearly matches the company's revenues for all of 2010 ($713.3m).

Groupon says that it has agreements with almost 57,000 local merchants in 43 different countries, and that in Q1 it sold 28.1 million coupons. But in Q1, the company was still $102.7m in the red, thanks to some serious cash spent on marketing and expanding its sales force. Its net loss in 2010 was $389.6 million.

Suddenly, it feels like the 90s again. Two weeks ago, professional social networking outfit LinkedIn went public at $45 per share, and its stock soared to over $120 before settling down to around $80. Zynga, the online gaming outfit that has made a name for itself atop Facebook, is expected to file for an IPO this month.

According to reports, Groupon's valuation could be as high $25bn, which would dwarf Google's $6bn offer. But the company could face tougher times ahead. Since failing in its bid to buy Groupon, Google has launched its own daily deals services. As have Facebook and Amazon. ®

Intelligent flash storage arrays

More from The Register

next story
Bada-Bing! Mozilla flips Firefox to YAHOO! for search
Microsoft system will be the default for browser in US until 2020
NSA mass spying reform KILLED by US Senators
Democrats needed just TWO more votes to keep alive bill reining in some surveillance
Google bags OBSCENELY LARGE Times Square ad space for New Year's
Choc Factory pays millions for whacking new digital screen
prev story

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.
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.
Getting ahead of the compliance curve
Learn about new services that make it easy to discover and manage certificates across the enterprise and how to get ahead of the compliance curve.
Top 5 reasons to deploy VMware with Tegile
Data demand and the rise of virtualization is challenging IT teams to deliver storage performance, scalability and capacity that can keep up, while maximizing efficiency.