Since its launch in May 2003, LinkedIn (LNKD) has grown into the world's largest online professional network, connecting more than 100 million registered members in 200 countries. By creating a free profile, LinkedIn members can search and communicate with business contacts, learn about career opportunities, join industry groups, research organizations and share information. With an expanding user base and rising member engagement driving more data onto its platform, the company has established three fast-growing and high-margin revenue streams: enterprise recruiting solutions, targeted advertising and premium subscriptions.
LinkedIn plans to raise $263 million by offering 7.8 million shares at a price range of $32 to $35. At the midpoint of the range, LinkedIn will have a market cap of $3.6 billion, making it the most valuable Internet IPO since Google. Morgan Stanley, BofA Merrill Lynch and J.P. Morgan are the lead managers on the deal, which is one of three deals on the US IPO calendar for the week of May 16.
Read the full analysis and IPO Preview of LinkedIn.
