Box has priced its IPO at $14 per share, according to a Reuters report citing an underwriter of the offering. The company initially priced its shares in the range of $11 to $13, a more conservative band than it had initially signaled in its first S-1 document.
The price values Box at approximately $1.67 billion. Box last raised private capital at a $2.4 billion valuation, making the IPO something of discount. A quickly growing company, Box had to delay its IPO early last year, after the market balked at its staggering losses. So, Box kept growing, and when the market was primed, pulled the trigger.
Box’s IPO will bring the company some $175 million in cash. In its first S-1 filing with the SEC, the company noted that it would raise up to $250 million in its debut.
Tomorrow, all eyes will rest on Box. If the company enjoys a trading pop, it could indicate that the larger market has a strong appetite for shares in quickly growing, if unprofitable technology firms. If Box struggles, drops, or essentially goes unch, it could slow down potential offerings from rival firms like Dropbox. Also, if Box dips, it could depress valuations for other companies looking to raise funds in the billion dollar valuation range.
After nearly infinite jest, it’s go time for Box CEO Aaron Levie and his crew.