Popular internet radio service Pandora files for IPO

[News_Editor]

Popular internet radio service Pandora files for IPO

2011-02-12 21:48:41 GMT+7 (ICT)

OAKLAND, CALIFORNIA (BNO NEWS) -- Internet radio service Pandora Media, Inc. on Friday announced that it had filed a registration statement relating to a proposed initial public offering of shares of its common stock, reportedly looking to receive around $100 million.

The radio service, which is offered for free, has around 80 million users with its large catalog of over 80,000 artists, however, despite its popularity, Pandora has yet to make a profit.

Around one year ago, the company reported a $16.8 million loss for the first 9 months of 2009. In its last report, the company almost broke even, reporting a loss of $328,000 with a revenue of $90.12 million, which is over $30 million more than the previous report.

Pandora's biggest income comes from advertisement ($77 million), while its income from subscriptions ($12.2 million) only accounts for around 10 percent of its total revenue.

The number of shares to be offered and the detailed price range for the offering have not yet been determined, but in the company's economic strategy to go public, it is looking to post its first profits.

Pandora also announced that its bookrunning managers of the proposed offering will be Morgan Stanley & Co. Incorporated and J.P. Morgan Securities LLC, while co-managers will be William Blair and Company, L.L.C. and Stifel Nicolaus Weisel.

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