Shopify, which provides a cloud-based platform for small businesses to create online stores, announced terms for its IPO on Wednesday.
The Ottawa, Canada-based company plans to raise $100 million by offering 7.7 million shares at a price range of $12 to $14. At the midpoint of the proposed range, it would command a fully diluted market value of $1.1 billion.
Shopify states that it competes with seller services providers like Square and Intuit, marketplaces like Amazon, eBay and Etsy (ETSY; +46%) and domain registrars like GoDaddy (GDDY; +23%).
Shopify, which was founded in 2004 and booked $124 million in sales for the 12 months ended March 31, 2015, plans to list on the NYSE under the symbol SHOP. Morgan Stanley, Credit Suisse and RBC Capital Markets are the joint bookrunners on the deal. It is expected to price during the week of May 18, 2015.
