Tags: US | Skype | IPO

Internet Calling Service Skype Files for IPO

Monday, 09 Aug 2010 10:15 AM

 

Share:
  Comment  |
   Contact Us  |
  Print  
|  A   A  
  Copy Shortlink

Skype SA, the Internet calling service that was controlled until last year by eBay Inc., filed Monday for a U.S. initial public offering.

Luxembourg-based Skype tentatively put the value of the offering at $100 million, but that's a rough estimate only used as a basis for the filing fee for the Securities and Exchange Commission.

Skype did not say when its shares would go on sale, or at what price. It expects to list on the Nasdaq Stock Market under an unspecified symbol.

EBay sold 70 percent of Skype for $2 billion to an investor group led by private equity firm Silver Lake, the Canada Pension Plan Investment Board and Andreessen Horowitz. The group owns 56 percent of the company. The remaining 14 percent is owned by Joltid, a firm controlled by the founders of Skype, Niklas Zennstrom and Janus Friis. EBay kept a 30 percent stake.

Friis and Zennstrom sold Skype to eBay for $2.6 billion in 2005 and left the company in 2007.

Between Nov. 19, 2010, when it became independent of eBay, and Dec. 31, Skype lost $99.7 million on $92.4 in revenue, according to the filing with the SEC.

Calls between Skype users are free. The company makes most of its money from calls Skype users place to landline and cellular phones.

Skype said a portion of the IPO shares will be made available to its customers, "based on the nature and extent of their relationship with Skype." Another Internet calling service, Vonage Holdings Corp., offered shares to its customers in its 2006 IPO. That turned into a disaster, as unsophisticated investors jumped at the chance to participate, thinking that they could cash out soon. The shares tanked immediately after going on sale, and have never recovered their value. Lawsuits followed.

Goldman Sachs, J.P. Morgan and Morgan Stanley will lead the offering.

© Copyright 2014 The Associated Press. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.

Share:
  Comment  |
   Contact Us  |
  Print  
  Copy Shortlink
Around the Web
Join the Newsmax Community
Please review Community Guidelines before posting a comment.
>> Register to share your comments with the community.
>> Login if you are already a member.
blog comments powered by Disqus
 
Email:
Retype Email:
Country
Zip Code:
 
Hot Topics
Follow Newsmax
Like us
on Facebook
Follow us
on Twitter
Add us
on Google Plus
Around the Web
You May Also Like

Scientists: Earth Had Narrow Escape From 2012 Solar Storm

Wednesday, 30 Jul 2014 19:07 PM

A powerful solar storm's near-miss with Earth two years ago could have wreaked massive havoc, but businesses and governm . . .

Health Experts Worry Ebola Epidemic Could Go Global

Wednesday, 30 Jul 2014 17:58 PM

Doctors in Britain are being warned to be on the lookout for possible cases of Ebola disease. "The issue is about the po . . .

Facebook Slapped With $123 Million Lawsuit Over 'Revenge Porn' Page

Wednesday, 30 Jul 2014 15:44 PM

A woman has filed at $123 million lawsuit against Facebook and a former friend for what has become known as revenge por . . .

Most Commented

Newsmax, Moneynews, and Independent. American. are registered trademarks of Newsmax Media, Inc. Newsmax TV, NewsmaxWorld, NewsmaxHealth, are trademarks of Newsmax Media, Inc.

 
NEWSMAX.COM
America's News Page
©  Newsmax Media, Inc.
All Rights Reserved