Groupon files for its own $750m IPO


Pandora’s IPO details got rather lost in the tech world’s excitement around the IPO of daily deals firm Groupon yesterday. The company has filed for an IPO to raise $750 million, with documents that reveal the sheer scale of its growth. Groupon’s revenues were $94,000 in 2008, $30.5 million in 2009 and $713.4 million in 2010. Oh, and in the first quarter of 2011 alone, its revenues were $644.7 million. Groupon has 83 million subscribers to its daily deals, with 15.8 million of them actually having purchased something in the first quarter of this year. However, while Groupon is making a lot of money, it’s also losing it – in 2010, it posted a loss of $456.3 million. In a letter to potential investors, CEO Andrew Mason warns that “We spend a lot of money acquiring new subscribers because we can measure the return and believe in the long-term value of the marketplace we’re creating. In the past, we’ve made investments in growth that turned a healthy forecasted quarterly profit into a sizable loss.” Groupon actually raised nearly $1.1 billion in VC funding recently, but it turns out that $946.8 million of that was immediately paid out to directors, officers and stakeholders. Sources: VentureBeat Business Insider Mashable

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