LinkedIn has filed an S-1 document with the SEC, the first step toward an initial public offering for up to $175 million.
This is a long-awaited move from the profitable business networking service and website. On the heels of DemandMedia's successful IPO just yesterday, it's no surprise that LinkedIn, which has been talking to bankers about this move for months, now decided to make the move.
The three lead underwriters on the IPO are Morgan Stanley , Bank of America Merrill Lynch and JPMorgan Chase .
The company's SEC filing includes some key stats about LinkedIn's growth and profitability. The company brought in $161 million in revenue in the first nine months of 2010 and over $10 million in net income. In the full year 2009, its revenue came in at $120 million, and it posted a nearly $3 million loss.
The company has 90 million members across two hundred countries—40 million of those members are in the US—and it says it's adding one new member every second. It's free to join LinkedIn, but the company makes money from ads, premium subscriptions for individuals and various tiers of service for companies interested in using the platform for hiring purposes.
Founder Reid Hoffman and his wife Michelle Yee control 21.4 percent of shares. Hoffman is connected to dozens of startups in Silicon Valley as an advisor and investor—he made his fortune on PayPal.
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