Groupon IPO raises $700 million

November 4th, 2011 - 11:16 pm ICT by Aishwarya Bhatt  

New York, Nov 4 (THAINDIAN NEWS) Groupon’s IPO has become the second largest Internet business. The company has generated $700 million with its initial public offering. When Google went public in 2004, the company generated $1.7 billion making it the largest Internet company in the world.

Groupon’s IPO was delayed after regulators announced investigation into the procedure. The company was initially scheduled to go public with its shares in September but the Securities and Exchange Commission asked the company to provide more details. It is believed that the company decided to delay its IPO because it the performance of most of the major economies in the world at that time.

Groupon increased its offered shares from 30 to 35 million. The share price also increased from $16 to $20. The current value of Groupon stands at $12.8 billion. That means the company offered a little over 5 percent of its shares to the public.

Analysts say Groupon faces some challenges in competing with other tech companies on the stock market. The top executives of Groupon have met with investors of the company and assured them that they have those issues covered.

Groupon’s shares will be sold under the name GRPN on NASDAQ.

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