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GoDaddy’s Wall Street offering may rev up public markets’ technology appetite

GoDaddy’s Wall Street offering may rev up public markets’ technology appetite
GoDaddy, which has built its reputation trying to make Web hosting sexy, stormed into Wall Street with a stock offering on Wednesday aiming to revive the public markets’ appetite for technology.

Arizona-based GoDaddy is expected to raise more than 400 million in an initial public offering (IPO) which marks the end of a noticeable drought for the sector, which has been pumped up by cash from private equity investors.

The company is evaluated at just over $3 billion with a share price set yesterday at $20, according to a statement from the company. The is outside a previously expected price range of $17 to $20. In another sign that seems to hint at keen investor interest, GoDaddy has raised the number of shares on offer from 22 to 23 million.

This would allow it to raise as much as $460 million in the initial public offering, or even more if options on additional shares are exercised. GoDaddy, known for its provocative television ads with scantily clad women and its sponsorship of race car driver Danica Patrick, will be only the fourth initial public offering for the tech sector so far this year, according to Renaissance Capital.

The company has kept an unusually public profile for a tech firm, gaining attention for example with its Super Bowl “beauty and the nerd” featuring model Bar Refaeli.  

The world’s biggest domain name registrar, GoDaddy is heading to Wall Street even though many of its peers in the sector have been raising cash in private markets.
AFP

AFP

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