Cloud storage company Dropbox (DBX) went public on the Nasdaq stock market Friday and saw its stock go up 35% for the day. Shares were priced at $21 and traded as high as $31.60 before closing at $28.48, up 35.6% from its offering price.
Founded in 2007, Dropbox lets users store their files online and has more than 500 million registered users across 180 countries. Users can sign up free and subscribe for premium offerings. The company is headquartered in San Francisco and has 12 offices around the world.
Dropbox reported revenues of $1.1 billion in 2017 and net loss of $111.7 million. The company has yet to turn a profit.
Founder and CEO Andrew Houston and Sequoia Capital each own about 25% of the company. Accel Partners owns 5.4% stake.
The company sold 36,000,000 shares of its common stock to the public at $21 per share. Dropbox is offering 26,822,409 shares of Class A common stock and selling stockholders are offering 9,177,591 shares of Class A common stock.
Goldman Sachs & Co. LLC and J.P. Morgan Securities LLC were joint lead bookrunning managers for the IPO. Deutsche Bank Securities, Allen & Company LLC, BofA Merrill Lynch, RBC Capital Markets, Jefferies, and Macquarie Capital (USA) Inc. acted as joint book running managers. Canaccord Genuity, JMP Securities, KeyBanc Capital Markets, and Piper Jaffray acted as co-managers for the offering.