Zendesk Isn’t Afraid To Take A Cloud Company Public, Prices Its IPO
May 6, 2014
Grazed from BusinessInsider. Author: Julie Bort.
Enterprise startup Zendesk is moving full-speed ahead toward its IPO, even though investors have cooled towards cloud companies in recent weeks. Zendesk has not set a date for its first day of trading on the public markets, but it just priced its shares, according to documents filed with the SEC.
It plans to sell over 11 million shares at $8 to $10 a share. At $9, the midpoint, it expects to raise about $90 million. At that price, the company would be valued at $632 million. None of the major stakeholders are selling as part of the IPO and here’s something interesting about that: the SEC documents reveal that the company’s three founders do not have huge ownership stakes…
Co-founder and CEO Mikkel Svane owns 10%, which will be duluted to about 8% after the IPO. Co-founder and chief product officer, Alexander Aghassipour, owns about 8%, which will become not quite 7% after the IPO. Co-founder CTO Morten Primdahl isn’t listed among the principal stockholders at all…
Read more from the source @ http://www.businessinsider.com/zendesk-ipo-2014-5#ixzz30wBRUAhX
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