U.S. head-quartered Data Storage service Box is finally going ahead with its Initial Public Offering after it delayed the same for almost a year post the original filing in March last year. The company had delayed its IPO as it was waiting for a stronger U.S. market.
Between March last year and its IPO this year, Box has raised some $150 Million through private equity. The $150 Million round was led by TPG Growth and Coatue Management
The shares, which will be listed under the name ‘BOX’ on the New York Stock Exchange, are speculated to be priced in the range of $11 to $13. As per various media reports, the data storage start-up will be putting up around 12.5 to 14 Million shares for sale, which will help it raises a staggering $187 Million.
However, many analysts have argued that the share pricing by Box is rather conservative, and will value the company at a lowly $1.5 Billion as compared to its last private valuation of around $2.4 billion. On the contrary, certain analysts have supported the pricing strategy terming heavy service scrutiny and a slowing growth as the primary reasons.
Box’s user statistics aren’t the most inspiring though. Against a combined registered user base of over 32 Million, the company has just 44,000 paying corporate customers.
As detailed in the filings, the company garnered $153.8 Million through revenues for the period ending on October 31st. The company reported losses worth $129 Million in that same period. Though its revenue as compared to 2013 almost doubled on an year-on-year basis, its losses also widened by roughly $4 Million as compared to the $125.4 Million it generated last year.