ExactTarget IPO watch: The U.S. e-mail marketing software giant ExactTarget updated its IPO prospectus, raising the amount of financing from $100 million to $136 million. The company itends to offer 8.5 million shares of common stock at an issue price of $15 to $17. Caulculated by the asumed pubilic offering price of $16, the midpoint of the ExactTarget IPO price range, the company’s market capitalization would reach $1.2 billion.
ExactTarget plans to be listed on the NYSE under the ticker symbol ET. (JPMorganChase & Co., Deutsche Bank AG and Stifel Financial Corp are serving as the ExactTarget IPO’s lead underwriters.
The two largest shareholders of the company are venture capital firms Technology Crossover Ventures (will hold a stake of 22.4% after the ExactTarget IPO) and Greenspring Associates, (will hold a stake of 15.5% after the ExactTarget IPO), in addition, both of the two companies announced to add the ExactTarget stock after this public offering. Another two venture capital firms Battery Ventures and Scale Venture Partners, will own stakes of 15.2% and 6.2% after the ExactTarget IPO, repsectively.
2011 sales were $207 million, an increase of 55% year on year; net loss widened to $12 million from last year’s $35 million, mainly due to increase in marketing costs and staffs. 201
ExactTarget company, founded in 2000, is committed to provideing companies with the so-called “software as a service” tool that allows each company to carry out marketing activities via e-mail, websites and social media. The market research firm Forrester Research estimated in 2016, the mobile and social media marketing spendings are expected to add from $4.8 billion in 2011 to $15.7 billion.
This is the second time for the ExactTarget submitted the listing application documents. The company previously had filed prospectus with the U.S SEC in 2007, but then postponed due to the U.S. financial crisis.