Social Network for professionals, LinkedIn only yesterday opened up it API for all but it appears it will take all the time available to eye an IPO in UK, despite hitting 3 million users. This idea to keep away from the IPO at present was presented by its founder Reid Hoffman. But that doesn’t mean they will be letting go off it for a long time. I am just a bit surprised as to why it refrains from going after the public offering, given the fact that it has been more than just successful in the last couple of years. It has more than 53 Million users and growing and is being valued at a staggering $1 Billion and it has so much in its pocket that it hasn’t really done much with the cash raised in the last round.
So is this extremely secure financial condition not enough for them to go for the IPO? I am not sure, perhaps there is something better and I am interested in learning that.
The reason is kind of obvious…As Hoffman says they are yet to spend a dime of their last financing..So clearly they are not monetarily constrained. Also, if they are going to continue without valuation, that means they stand to get a much higher valuation down the line which means that the IPO will help them raise much more capital.
By the way, you have a typo in your title..LikedIn.com!
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