17 May 2011

LinkedIn IPO price per share

LinkedIn has just announced the share price of its IPO from between $42 to $45 per share. This latest pricing values the company at over $4 billion. LinkedIn is offering a total of 7,840,000 shares and is looking to raise as much as $406 million in the offering. 

The founds will be used for general corporate purposes, including working capital, sales and marketing activities, general and administrative matters and capital expenditures. The funds could also be used for acquisitions or investments in complimentary technologies.

LinkedIn is one of the biggest private Internet companies, and the first to go public.This IPO will sure be interesting to Facebook, Groupon, Twitter and Zynga.  If LinkedIn can both price high and maintain its value, then other companies will use their own private market valuations as baselines during conversations with bankers.

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