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 This material may not be published, broadcast, rewritten or redistributed.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:
Privacy: We never share your email.
 
Hot Topics
Follow Newsmax
Like us
on Facebook
Follow us
on Twitter
Add us
on Google Plus
Around the Web
Top Stories
You May Also Like

Report: Ice Cap Growing Though Gore Said It Would Be Gone

Sunday, 31 Aug 2014 22:52 PM

Despite Al Gore's prediction seven years ago that the polar ice cap would be completely melted by now, it is actually la . . .

Why Your Favorite Song Takes You Down Memory Lane

Saturday, 30 Aug 2014 21:08 PM

Music triggers different functions of the brain, which helps explain why listening to a song you like might be enjoyable . . .

Manatees May Soon Lose Endangered Species Status

Friday, 29 Aug 2014 06:54 AM

As they do whenever they visit Florida, Greg Groff and his young daughter stopped by the manatee pool at Miami Seaquariu . . .

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