IPO Could Value Groupon at $15 Billion to $20 Billion

Goldman Sachs, Morgan Stanley chosen to lead underwriting

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After fielding offers from investment bankers about a potential IPO since January, Groupon is now expected to announce Goldman Sachs and Morgan Stanley as the two lead underwriters of a planned public offering, the Wall Street Journal reports. The IPO is expected in the second half of this year, possibly in the third quarter, and will likely value the company at between $15 billion and $20 billion, depending on market conditions, and could raise up to $1 billion from investors.

J.P. Morgan Chase could have a co-manager role, and at least two other banks are vying for the spot, according to insiders.

Last year, Groupon turned down a bid from Google to buy the company for $6 billion and raised $950 million in funding shortly afterward. Since its founding in 2008, Groupon has received investments from venture capital firms including Lightbank, Andreessen Horowitz, Battery Ventures, and Russian Internet investment firm Digital Sky Technologies. 

@adweekemma emma.bazilian@adweek.com Emma Bazilian is Adweek's features editor.
Publish date: April 15, 2011 https://dev.adweek.com/digital/ipo-could-value-groupon-15-billion-20-billion-130598/ © 2020 Adweek, LLC. - All Rights Reserved and NOT FOR REPRINT