Glu Seeks $80 Million in IPO
Glu Mobile ended its pre-IPO quiet period earlier this week, when the company announced its intention to make 7.3 million shares available in its initial offering, at an estimated range of $10-$12 a share, in a bid to raise a total of $80 million.
The deal is being underwritten by Goldman Sachs and Lehman Brothers. Glu plans to trade on the NASDAQ under the symbol GLUU.
The previously VC-funded game developer/publisher announced its IPO intentions in mid-December, which revealed some interesting information regarding the company's previously-closed books. It was revealed that in the first nine months of 2006, Glu paid out $9.7 million in IP royalties (or 30.6% of total revenue, which was $31.8 million).
It was also revealed that the company spent $11.346 million on research and development, and $8.317 million on sales and marketing during the period.
Perhaps most interesting was the news that Glu has operated at a loss since its founding, as it continues to scale its global operations. The company's 2005 net loss was $17.9 million, and $10 million in the first nine months of 2006.