BrokerDealers Banking on GoDaddy IPO

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GoDaddy

Brokerdealer.com blog update profiles Internet domain registrar and web hosting company, GoDaddy filing for an IPO. GoDaddy is largest web hosting company with said to have had more than 59 million domain names under management. Brokerdealers excitedly await the launch of GoDaddy’s IPO because it is anticipating to be valued billions of dollars. This Brokerdealer.com blog update Leslie Picker’s article “GoDaddy Seeks Up to $2.87 Billion Valuation in U.S. IPO” from BloombergBusiness.

GoDaddy Inc., the provider of domain names and website hosting, is seeking a valuation of as much as $2.87 billion in an initial public offering.

The company is seeking to raise as much as $418 million, offering 22 million shares at $17 to $19 apiece, according to a regulatory filing Thursday. Those terms imply a market value of $2.57 billion to $2.87 billion.

GoDaddy’s IPO comes more than three years after a group led by KKR & Co. and Silver Lake Management acquired the Scottsdale, Arizona-based company for $2.25 billion. Now that the price range is set, GoDaddy can officially begin marketing the sale to investors. The IPO is scheduled to price March 31, according to data compiled by Bloomberg.

GoDaddy is seeking a valuation at a discount to other Web-services providers. At the high end of the range, GoDaddy would fetch a multiple of about 2.1 times last year’s sales, while Endurance International Group Holdings Inc., which provides Internet hosting, trades at 3.7 times and Cognizant Technology Solutions Corp., a consulting firm, trades at 3.1 times, data compiled by Bloomberg show.

In 2014, GoDaddy posted $1.39 billion in revenue, a 23 percent jump from the prior year. Its net loss narrowed to $143.3 million over the same period, from $200 million in 2013, the filing showed.

To read the full article from BloombergBusiness, click here.

Japan Prepares To Launch A Record Breaking IPO, BrokerDealers Have Been Waiting 10 Years To See

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IPO

Brokerdealer.com blog update is courtesy of MarketWatch “Japan may be set for world’s biggest IPO”. While in America, broker dealers anticipate the launch of a $2.87 billion IPO for GoDaddy.com, Japan Post Holdings is slated to break records with the launch of their IPO.

Last year, China’s Alibaba Group unleashed a monster of an IPO, the world’s biggest to date. But this year, Japan has a monster of its own that by all accounts could blow past the Alibaba listing to become the most massive offering of stock ever seen.

It is easily the hottest topic around the boardrooms and izakayas (after-work drinking halls) across Tokyo: the highly anticipated initial public offering of Japan Post Holdings, the finance-ministry-held behemoth that combines the national postal service with the country’s biggest savings bank and major insurer. Its financial arm alone had ¥205 trillion ($1.71 trillion) worth of assets under management as of December, roughly one-third the entire annual GDP of Japan.

The offering has been more than a decade in the making, surviving fierce political controversy since the idea of privatization was first introduced. The issue was a sensitive one because not only does Japan Post bring in a massive amount of revenue, but also it’s the nation’s largest employer.

Finally, with the government determined to shore up Japan’s debt-bedraggled finances, the stock appears ready to go to market sometime this autumn, with the ministry having set a goal of ¥4 trillion yen, or about $33 billion, for the divestment proceeds. It has earmarked the funds for rebuilding parts of northeastern Japan destroyed by the 2011 earthquake and tsunami.

Such an amount would dwarf Alibaba’s BABA, +1.06%  $25 billion haul — to date the largest in history. Still, much of the details have yet to surface, and according to the Nikkei Asian Review, the event may come as a trio of listings: Japan Post Holdings, along with separate tickers for its subsidiaries Japan Post Bank and Japan Post Insurance. Likewise, some reckonings see the issue as pulling in a somewhat more modest $10 billion-$20 billion.

In discussing the big Japan Post sale, those with longer memories note similarities with the situation a quarter-century ago, when the government privatized its fixed-line carrier, Nippon Telegraph & Telephone 9432, +0.28% NTT, +0.85% Unusually for Japan, its listing was a big event not just for institutions, but for retail investors as well.

For the entire article from MarketWatch, click here