GoDaddy Hosting Files For An IPO

Growth of GoDaddy domains (Photo credit: Wikipedia)

Just recently, GoDaddy hosting did file for an IPO, and they plan on using some of the funds from the IPO to get some of their debts paid off. They do plan on using some of the money for corporate purposes, in addition, as well. 

GoDaddy did file its regulatory filing, and when they did this, they did indicate that such things as the number of shares they plan to offer hasn't been determined. Nonetheless, this company did mention to, they plan on trying to raise some money in the vicinity of up to $100 million dollars. They did comment that this sum was just the placeholder amount. This amount was something that was subject to change. 

GoDaddy Hosting is based in Arizona and it provides a wide variety of products and services that people do need for the Internet world. Some of these products and services are no other than domain registration and web hosting plans. This company has listed Citigroup and J.P. Morgan as the official underwriters for their offering. 

This company has been in business for 17 years now. They did recently gain a lot of attention to themselves by coming up with some very edgy commercials that did have scantily dressed women in them. They did report a loss of close to $200 million dollars for the year of 2013. Their revenue did rise up though by an amazing 24%. 

Straight up to March 31st, GoDaddy did report a total booking sum of $438.5 million dollars and had close to 12 million registered customers with them. 

The founder of the company is named Bob Parsons. His investment group owns about a little more than 28% of the company's Class A stock. This information is contained in the filing that was made for the company. 

In 2011, GoDaddy was acquired for a whooping sum of $2.25 billion by KKR Co. Silver Lake. Today, they now only own, roughly about 28% of the company itself.

Facebook Stock Lifted On The View That It Will Join The S&P 500 Index Sometime Soon

Image via CrunchBase

Facebook Stock Lifted On The View That It Will Join The S&P 500 Index Sometime Soon

A sharp jump in the Facebook stock price is fueling analyst speculation that Facebook (FB) will join the S&P 500 index sooner rather than later. Facebook stock closed today at $24.33, up 4.46% over the previous day's close. It is no longer a question of if it will be invited, the question now is when. Previously, it was expected to be added to the index within the next year, but many now believe it will be sooner.
 
Facebook joined the NASDAQ in early December 2012, and now has the required months of seasoning since its IPO on May 18, 2012. The S&P 500 likes to have six to twelve months of seasoning. They also normally require four consecutive quarters of positive earnings, which for Facebook won't be until the 4th quarter of this year. Depending on how bad the S&P wants Facebook, other criteria might be used. The index may use the balance sheet criteria instead, which Facebook meets. With a current market value of almost $60 billion, that would place Facebook within the top 60 of the most valuable members of the index.

The S&P 500 is a primary benchmark index by more than 1300 mutual funds and quite a few ETFs, so once Facebook is added to the index, Facebook shares will be added to the holdings of those companies. This will likely cause a short-term increase in the price of Facebook stock, of possibly up to 5%. The addition of Facebook to the S&P 500 is a major benchmark that will likely spur buying.

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