There have been many discussions among Wall Street experts over the past few months about the possibility of Dropbox going public. It would seem that day has finally come. The company that is headquartered in San Francisco has contacted the SEC and filed for a $500 million initial public offering. The company allows people to share data. However, it was launched as a free method that people could use in order to securely store various files like music and pictures. “DBX” will be the ticker symbol associated with the company when it finally appears on Nasdaq.
Dropbox experienced revenue of more than $1 billion last year. This was above industry estimates. There are currently more than 11 million people who pay Dropbox to store their files. More than half of these people reside outside the United States. The company has experienced very steady growth over the past few years. This is very good new considering that there are many other companies that offer a similar type of service. However, Dropbox has done a very good job of marketing itself as a cheaper alternative for data storage. This has helped them steal many customers away from their more expensive competitors.
There were many stock market analysts who thought that Dropbox should have filed for an IPO two years ago. However, company executives did not feel the time was right to make a move of that magnitude. It appears as if their patience is going to pay off in a very big way. The announcement was a surprise to many people on Wall Street. Dropbox did not give any advance warning about filing the IPO. There are several of the largest financial firms in the United States who will be underwriting the IPO. People in more than 180 countries use Dropbox on a regular basis.