Dropbox priced its IPO above expectations on Thursday night. The new price values the company at over $8.2 billion. The IPO will raise $756 million, making it the biggest tech IPO since Snap started trading last year. Ingrid Angulo | Leslie Picker Published 1 Hour Ago Updated 5 Mins Ago
Dropbox priced its IPO above expectations at $21 per share on Thursday night, a source told CNBC, setting the stage for the technology company's stock to hit the public market on Friday.
The company is likely to offer 36 million shares, a source said, and shares are in demand. The offering is 25-times oversubscribed, the source said.
The pricing gives the company a valuation of over $8.2 billion, lower than the $10 billion valuation it received in a 2014 private funding round. Dropbox's IPO will raise $756 million, the biggest tech IPO since Snap started trading last year.
Companies typically make an official pricing announcement before the stock begins trading.
The expected range was $18 per share to $20 per share.That estimate was up $2 a share from the company's earlier estimate of $16 per share to $18 per share.
The cloud storage company's IPO has been a highly anticipated one, despite an especially challenging week for tech stocks amid Facebook's recent data scandal. Its success could be a sign of the strength of tech "unicorns," young companies valued at more than $1 billion.
Dropbox reported more than $1 billion in 2017 revenue and 500 million registered users when its plans to go public were unsealed in February.
The company posted a net loss of $111.7 million in 2017, a narrower loss than 2016's of $210.2 million.
It competes with Box as its main cloud storage rival, as well as consumer cloud offerings from Apple, Amazon and Google. The company also considers Atlassian a competitor in the area of worker collaboration.
Dropbox will start trading on the Nasdaq on Friday with the ticker "DBX."
Dropbox was also a CNBC Disruptor 50 company five times.. .
"I cannot see how nature could have created itself. Only a supernatural force that is outside of space and time could have done that. ~ Francis Collins
2. "Nope. I Sold SNAP. Only lost about $150. Still in the game." In response to Reply # 1
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"I cannot see how nature could have created itself. Only a supernatural force that is outside of space and time could have done that. ~ Francis Collins
3. "Dropbox survival is an interesting one" In response to Reply # 0
Technically their prices suck compared to what other companies are offering. Google is literally giving gigs of shit away for free.
But nobody comes close to the ease of use that Dropbox has, and nobody has come close in years.
Will a super-successful IPO make it so that they are able to move even further away from the pack...or will it be the impetuous to get apple, google, amazon to actually put effort into their personal cloud storage services.
5. "I'm actually puzzled by the IPO since Google is mostly free, " In response to Reply # 3
easy to use, and is user-friendly. They may be trying to get Amazon to buy the company.
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"I cannot see how nature could have created itself. Only a supernatural force that is outside of space and time could have done that. ~ Francis Collins
7. "They got me to pay for it somehow" In response to Reply # 3
I don't know how they did it. I was the person two years ago scheming for ways to get free extra storage (connecting to twitter, fb, adding dummy connections, etc.). Finally had to cough up the dough.
Same with Spotify. If you would have told me 2 years ago that I would be paying for streaming music, I would have laughed in your face
6. "There is no universe where this is a good longterm investment" In response to Reply # 0
They literally only have a small business clientele. Adobe profits just soared last quarter. Google doesn't need gsuite money will always be around offering everything Dropbox has and more even if the interface is ass for key parts. Unless you trying to short the hype just sit back and watch.
█▆▇▅▇█▇▆▄▁▃ Big PEMFin H & z's "I ain't no entertainer, and ain't trying to be one. I am 1 thing, a musician." � Miles
"When the music stops he falls back in the abyss."
10. "Why? School me please. I need to know better" In response to Reply # 9
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"I cannot see how nature could have created itself. Only a supernatural force that is outside of space and time could have done that. ~ Francis Collins
11. "I feel the same way about the Spotify IPO" In response to Reply # 10
my fear is that the involvement of public investment will lead to a bad product or crippled experience because the focus might shift to profit and growth over focusing on making a great product and great customer service.
legsdiamond Member since May 05th 2011 79868 posts
Fri Mar-23-18 02:21 PM
12. "what was once free will certainly cost money " In response to Reply # 11
or get tweeked in some way that frustrates users
**************** TBH the fact that you're even a mod here fits squarely within Jag's narrative of OK-sanctioned aggression, bullying, and toxicity. *shrug*
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