Online coupon website RetailMeNot has raised USD 191 million in Initial Public Offering with initially pricing its share at USD 21 and got listed in NASDAQ with a total valuation of USD 1.4 billion.
RetailMeNot acts like a middleman between buyer and the seller, it aggregates digital coupons from the retailers and lists them on the website and smartphone application as well. It gets commission from the retailers if a shopper makes a purchase with use of its coupon.
It had announced its initial public offering of 9,090,908 shares of its Series 1 common stock at a price of $21.00 per share to the public. Share price has since surged by 31.90% and is currently being traded at USD 27.70 per share with the ticker name ‘SALE’. Its share rose as much as 36 percent in their market debut on Friday.
The company will be using some part of the capital raised from the IPO to continue its buying spree. “We are acquisitive and this gives us currency to do some acquisitions,” said, Cotter Cunningham, CEO, RetailMeNot. “I like the way we built this business through a combination of acquisitions and internal growth,” he added.
Recently it had acquired Dutch Online Coupon Site, actiepagina.nl. Its other portfolio and deal websites include, www.VoucherCodes.co.uk, online coupon site in the United Kingdom; www.Deals.com in Germany; web.Bons-de-Reduction.com and www.Poulpeo.com in France; and www.Deals2Buy.com, a discount offer site in North America.
Texas based, RetailMeNot, Inc. was launched in 2009 backed by Google Ventures and Austin Ventures. It features coupons from over 60,000 retailers and companies and reported USD 40.6 million in revenue in the first quarter of 2013. In 2012, it had experienced more than 450 million visits to its sites and had got USD 113.4 million in revenues.