Dropbox Sees IPO Price Between $16 and $18 per Share

Data-sharing business Dropbox on Monday filed for an initial public offering of 36 million shares, giving the company a value of more than $7 billion (roughly Rs. 45,000 crores) at the higher end of the range.

Dropbox expects its debut price to be between $16 and $18 (roughly between Rs. 1,040 and 1,170) per share, the company said in a filing.

The San Francisco-based company, which started as a free service to share and store photos, music and other large files, competes with much larger technology firms such as Alphabet's Google, Microsoft Corp and Amazon.com as well as cloud-storage rival Box.

In its regulatory filing with the Securities and Exchange Commission, Dropbox reported 2017 revenue of $1.11 billion (roughly  Rs. 7,200 crores), up 31 percent from $844.8 million, a year earlier.

The company's net loss narrowed to $111.7 million (roughly Rs. 726 crores) in 2017 from $210.2 million in 2016.

Dropbox, which has 11 million paying users across 180 countries, said that about half of its 2017 revenue came from customers outside the United States.

The IPO will be a key test of Dropbox's worth after it was valued at almost $10 billion in a private fundraising round in 2014.

Goldman Sachs & Co, JPMorgan, Deutsche Bank Securities, BofA Merrill Lynch are the lead underwriters for the public offer.

© Thomson Reuters 2018