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Retailmenot To Raise As Much As $200M In IPO

Originally published at www.seclive.com

Retailmenot (NASDAQ:SALE), an online coupon company, expects to sell 9.1 million shares priced between $20.00 and $22.00, which when priced at its midpoint, could result in $191M in earnings. Of the 9.1 million shares, half are being offered by the company while the other half are being sold by shareholders. Retailmenot intends to use the offering proceeds to pay dividends on its preferred stock and for general corporate purposes and working capital. Between 2010 and 2012, the company's revenue has increased 800% to $144.7M, while profits in the last year have increased 53% to $26M. The digital coupon company is seeking to gain a larger share of the e-commerce market which analysts expect to experience 18% growth over the next five years. Joint bookrunners to the offering are Credit Suisse, Morgan Stanley, and Goldman Sachs.

Disclosure: I have no positions in any stocks mentioned, and no plans to initiate any positions within the next 72 hours.