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.

GoDaddy to Tap Public Markets for IPO

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BrokerDealer.com blog extends thanks to NYT DealBook for below news extract.

GoDaddy, the domain name registration giant, plans to sell its shares to investors in an initial public offering.

Courtesy of NYT DealBook

Courtesy of NYT DealBook

The company, which filed a prospectus with regulators on Monday, is preparing to tap the public markets about two-and-a-half years after it was bought by a group led by the private equity firms Kohlberg Kravis Roberts and Silver Lake. GoDaddy previously sought to go public in 2006, but a deal never materialized at that time.

GoDaddy allows individuals and small businesses to set up Internet domain names, offering services like website building, hosting and security. The company had 57 million domains under management as of Dec. 31. It generates the majority of what it calls bookings — gross sales before refunds — from sales of domain names.

K.K.R. and Silver Lake, along with the venture capital firm Technology Crossover Ventures, paid about $2.25 billion for GoDaddy in December 2011. The company plans to use some of the money raised in the I.P.O. to reduce its debt.

It also plans to make a $25 million payment to its private equity and venture capital owners, to terminate an agreement under which the owners have collected fees.

For the full story, please visit NYT DealBook article.