Eventbrite, an online ticketing platform based in California, laid out the terms for its initial public offering in a regulatory filing last week. The company intends to apply to list its Class A common stock on the New York Stock Exchange (NYSE) under “EB” symbol. Its shares are expected to start trading during week of Sept. 17, 2018.
According to its update prospectus with the US Securities and Exchange Commission, Eventbrite is going to sell 10 million shares at a price range of $19 to $21 each. Based on a pricing of $20 per share, the firm is highly likely to command an enterprise value of $1.bln and a fully diluted market value of $1.8bln.
Eventbrite has the backing of investors such as DAG Ventures, Tiger Global, and Sequoia Capital. As of now, the company has managed to raise up to $332.3 million in a series of funding since its inception including a $1.5 million debt funding round 10 years ago. According to its filing, it plans to use proceeds from the offering to settle outstanding debts and for working capital, as well as other general corporate purposes.
J.P. Morgan Securities LLC, Goldman Sachs & Co. LLC, RBC Capital Markets, and Allen & Company are the joint bookrunners on the offering. In the first half of 2018, Eventbrite came out with a net loss of $15.6 million and losses of $38.5 million last year. Adjusted earnings before interest, tax, depreciation and amortization (EBITDA) totaled to $4.2 million in 2017.
Eventbrite hopes that consumers will continue to use most of their spending on experiences, instead of products. In 2017, more than 700,000 event organisers used the platform to sell tickets to about 3 million events, from music festivals and yoga sessions in more than 170 countries. Revenue grew 51% last year and is already up 61%, or $142 million, in the first half of 2018.
Eventbrite has bought a number of companies in recent years, including its $200 million acquisition of Ticketfly in 2017. It also plans to add extensive capabilities across countries and categories in order to achieve its vision of providing an excellent platform to creators of all types.
However, it still faces competition from older ticketing firms such as Live Nation, Ticketmaster, and StubHub, as well as tech giants like Twitter, Facebook, and Google.
Eventbrite Inc. Company Profile
Eventbrite develops an online platform that lets users find and create events. Its platform helps them plan events, such as event academy, classes and workshops, conferences, endurance, food and drink, music, nonprofits and fundraisers, performing and visual arts, politics, and reunions.
Eventbrite’s platform also lets users sell tickets, register online, post events, manage events online, event management, register event for free online, and search San Francisco events. Moreover, the company offers mobile application opportunity.
Eventbrite serves customers worldwide. Renaud Visage and Julia and Kevin Hartz founded Eventbrite in 2006, with its headquarters in San Francisco, California. –Crunchbase