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Dropbox I.P.O. Could Place its Value at $7 Billion
Dropbox, the latest tech unicorn gearing up for a blockbuster public offering, indicated in its updated prospectus on Monday that it hopes to raise as much as $648 million through its I.P.O. by selling 36 million shares between $16 and $18 a share.
This means the San Francisco-based file-sharing company could be valued at more than $7 billion through its public offering. The New York Times notes that this is less than the $10 billion that private investors had previously valued the company.
Dropbox also notes in its prospectus that Salesforce‘s venture arm has agreed to buy $100 million worth of its stock.
Here are some other key figures from Dropbox’s updated prospectus:
- The company’s revenue was $1.1 billion in 2017, up from $844.8 million in 2016 and $603.8 million in 2015.
- Dropbox posted $111.7 million in losses in 2017, down from $210.2 million in 2016 and $325.9 million in 2015.
- The company has more than 500 million users, with 11 million paying customers.
Dropbox’s I.P.O would be closely watched by Wall Street – not only because it’s one of the biggest privately held tech companies in the world, but because it will follow Snap Inc.’s own IPO from last year, which has been on a downward spiral since its launch. However, Dropbox , which was founded in 2007, will be entering its I.P.O. in a much stronger position than Snap did.