Daily Management Review

Switch Inc. raises $ 531 mln in the third-largest IPO in 2017


10/06/2017


Switch Inc. attracted $ 531 million during the initial public offering. The deal has become the third largest IPO in the technology sector in 2017 in the US, writes Bloomberg.



Switch, which provides cloud and telecommunications services, sold 31.25 million shares at a price of $ 17 per share, which is above the proposed range of $ 14-16 per share, the company said in a statement.

According to Bloomberg, the offering was less only than that of Snap Inc., during which the company managed to raise $ 3.9 billion, and the placement of Altice USA Inc. shares. at $ 2.2 billion.

The next largest share listing was WideOpenWest Inc. for $ 356.5 million.

Switch, whose headquarters is located in Las Vegas, designs, builds and manages data centers. At the same time, the data centers operate on renewable energy sources.

In 2015, Switch announced creation of a set of data centers in Reno (Nevada). One of these data centers, according to the company's plan, should become the largest in the world.

Among the largest customers of Switch Inc are companies Amazon.com Inc, eBay and PayPal Inc. Switch helps companies manage data by leasing their cloud infrastructure on a contractual basis.

The company has been profitable for at least the last four years. As a result of 2016, the company recorded a net profit of $ 31.4 million with revenue of $ 318.4 million. A year earlier, Switch received a net profit of $ 73.5 million with revenue of $ 265.9 million.

The company recorded a net profit of $ 35.3 million in the first six months of 2017, Reuters reports.

The shares of Switch will be traded on the New York Stock Exchange under the ticker SWCH.

Goldman Sachs & Co, J.P.Morgan, BMO Capital Markets, Wells Fargo Securities were among the main underwriters of the offering.

source: reuters.com, bloomberg.com






Science & Technology

Chinese Study Claims Heart Diseases Can Be Reduced By Having An Egg A Day

Asteroid mining: Reality or fiction?

3D Printing Used For Life Saving Kidney Transplant In Two Year Old At U.K. NHS

California to require solar panels for new homes by 2020

Blockchain Enables De Beers To Track Diamond From The Miner To The Retailer

Microsoft releases Windows 10’s April 2018 Update

DNA Sequencing Project Proposed For All Complex Life Forms On Earth By An Int’l Team

Facebook may start production of its own microprocessors

Long-Term Alcohol Monitoring Could Be Possible With A New Injectable Chip Developed By U.S. Researchers

Sweden Now Has The First Electrified Road In The World

World Politics

World & Politics

The British government is trying to unblock money to pay off the national debt

Ministerial Visit From India To North Korea Aimed At Strengthening Ties

What countries are the biggest losers of Trump’s Iran decision?

World's Oldest Elected Prime Minister Is Malaysia’s 92 Year Old Mahathir Mohamad

Why Is U.S. Pulling Out Of The Iran Deal A Big Deal For The World

Merkel, Macron, May call on Iran to adhere to the nuclear deal

Arab Region Driven In ‘Wrong Direction’ In Last 10 Years, Say Arab Your: Survey

German doctors demand a tax on sugar