At the midpoint of the range, Dropbox's IPO would be $612 million, the largest tech offering since Snap went public a year ago. At the high end of that range, Dropbox would have a market value of about $7.1 billion, based on the number of shares outstanding after the offering.
On a nondiluted basis, the company is valued around $6.7 billion, which is a closer comparison to what the company's market capitalization will be when the shares begin trading next week.More news: Google Duo adds video messaging service
Dropbox has set a preliminary price range for its initial public offering of shares, meaning net proceeds of around United States dollars 530 million for the cloud storage company. That technique essentially allows Dropbox to set a higher per-share price in its IPO without changing the economics of its previous owners or the company as a whole. The first integration will be the integration of the Commerce Cloud and Marketing Cloud with Dropbox wherein companies will be able to create customized Dropbox folders within Salesforce Commerce Cloud and Marketing Cloud with the new digital asset engagement offering.
Dropbox also revealed that it had sold $100 million worth of stock to Salesforce Ventures in a private transaction. Existing shareholders, including founders Drew Houston and Arash Ferdowsi, will offer another 9.2 million shares for sale, and the underwriters have an over-allotment option for 5.4 million more shares.
The cloud storage company Dropbox was founded in 2007. Sequoia Capital, one of Dropbox's early investors, will own a 21.1 percent stake.More news: Health Authorities Investigate Dentists Dying Of Lung Disease
The San Francisco-based company has touted its business as a path to unleashing creative energy and inspired work.
The company had 11 million paying users and over 500 million registered users on December 31, 2017-just over 2% of its registered users pay Dropbox for the service. Investors are sure to have questions for the file-sharing technology leader as it embarks on its marketing roadshow.
The San Francisco-based company reported $1.1 billion in revenue past year, with a net loss of $111 million. In the same period, the company's net losses dropped by almost $100 million.More news: 'Punish a Muslim Day' Letters Rattle UK Communities