Social networking site LinkedIn has selected bookrunners Morgan Stanley, Bank of America, and JPMorgan to work towards a possible US$2bn IPO this year, reported Reuters.
Citing undisclosed sources, the report suggests LinkedIn is keen to list before…
Social networking site LinkedIn has selected bookrunners Morgan Stanley, Bank of America, and JPMorgan to work towards a possible US$2bn IPO this year, reported Reuters.
Citing undisclosed sources, the report suggests LinkedIn is keen to list before larger rival Facebook, which it claims could file for an IPO after late 2012.
LinkedIn is reportedly concerned that a Facebook IPO could take away some of the thunder from its own listing.
A spokesperson for LinkedIn declined to comment on speculation, but told TelecomFinance: “An IPO is one of many tactics that we could choose to pursue. We are focused on building our business and doing what is in the best long-term interest of LinkedIn members and shareholders.”
In related news, US regulators are reported to be investigating a US$450m and US$50m injection from investment firms Goldman Sachs and Digital Sky Technologies, respectively, in Facebook.
Private companies in the US can avoid disclosing financial information if they have less than 500 shareholders. For this reason, the unconfirmed investment is reportedly being carried by a special purpose vehicle that could theoretically allow multiple Goldman Sachs clients to invest an unlimited amount without publicly releasing any details. It is widely reported that the investment firm has committed to invest up to US$1.5bn in Facebook.
Facebook declined to comment and Goldman Sachs did not respond to requests for comment before the press deadline
