In a big win for the Boston tech community, two Boston-area companies, Wayfair and HubSpot, are expected to go public in the next two weeks. Renaissance Capital predicts that Wayfair’s IPO ($W) will be this week, with HubSpot’s ($HUBS) occurring the week of Oct. 6.
Wayfair
Wayfair, the largest online-only retailer for home furnishings and goods in the U.S., and the largest Boston-based e-commerce company, filed to go public on Aug. 15, and set terms week before last.
Update: Wayfair’s IPO has priced above range and it’s going to start trading Thursday.
Wayfair’s total revenue in 2013 was $915 million, with a growth rate of about 55 percent. Revenue growth seems to be continuing in 2014 – in the first six months, the company posted $574.1 million in revenue.
Initial IPO share price is expected to be between $25 and $28, with 11 million shares available. The retailer, which plans to trade under the symbol “W,” hopes to raise $308 million if shares sell at the top of the range.
Those benefiting include co-founders Niraj Shah and Steven Conine, who each own 28.9 percent of the company; Great Hill Partners, which owns 11.43 percent; Harbourvest Partners, with 7.03 percent; Battery Ventures with 6.15 percent and Spark Capital with 4.4 percent.
HubSpot
HubSpot saw its beginnings in 2006 when co-founders Dharmesh Shah and Brian Halligan launched the inbound marketing software platform. Last year, revenues were $77.6 million – nearly 50 percent growth from 2012. And the growth is holding up in 2014 – in the first six months, the company has made $51.3 million.
The company is expected to go public sometime next week, after setting its IPO terms in late September.
Who’s going to profit? The biggest investor is General Catalyst Partners, with 27.1 percent. Besides that, there’s Matrix Partners with 17.1 percent. From there, co-founders Dharmesh Shah and Brian Halligan hold 4.9 percent and 8.8 percent, respectively, making Halligan’s shares worth $25 million and Shah’s $45 million.
Hubspot plans to trade under the NYSE with the ticker symbol “HUBS,” and aims to sell 5 million shares, priced between $19 and $21.
Image via Hubspot.
