📖 Your Q2 Earnings Guide: Discover the Stocks ProPicks AI Highlights to Jump Post-EarningsRead more

KKR-backed AppLovin sets $1 billion as new placeholder amount for U.S. IPO

Published 03/22/2021, 05:14 PM
Updated 03/22/2021, 06:55 PM
© Reuters.

(Reuters) - U.S. mobile app and gaming company AppLovin Corp, which is backed by private equity giant KKR & Co (NYSE:KKR) Inc, said on Monday it is aiming to raise $1 billion in an initial public offering.

However, AppLovin did not reveal the number of shares it plans to offer to investors or the price range for its offering, indicating that the new figure is just a placeholder amount. The actual raise amount is likely to change when the company reveals the terms for its offering.

It had previously put $100 million as the placeholder amount, which is usually set for calculating the registration fee for any given share sale.

Reuters reported in October that Palo Alto, California-based AppLovin had hired Morgan Stanley (NYSE:MS) to lead the IPO.

AppLovin is the latest player in the mobile gaming industry looking to cash in on the surging demand for video games from gamers staying at home due to the COVID-19 pandemic, with DraftKings (NASDAQ:DKNG) Inc, Playtika Holding Corp and Roblox Corp also going public over the past 18 months.

Founded in 2012 as a mobile games advertising platform, AppLovin's revenue grew 46% to $1.45 billion in the year ended Dec. 31, 2020.

But it posted a net loss of around $125 million last year, compared with a net profit of $119 million a year earlier.

Morgan Stanley, J.P. Morgan, KKR, BofA Securities and Citigroup (NYSE:C) are the lead underwriters for AppLovin's offering.

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.