Industry leading file-sharing company Dropbox has filed confidentially for a U.S. initial public offering (IPO), according to Bloomberg. Citing people familiar with the matter, the source claims that the company is aiming to list in the first half of this year, and that Goldman Sachs Group and JPMorgan Chase & Co. will lead the potential listing.
A share sale by Dropbox, one of a closely watched group of high-profile private tech companies with multibillion-dollar valuations, would follow Snap Inc.’s disappointing step into the public markets. How the stock fares post-listing will be an ongoing focus for both Wall Street and the tech community. Snap shares are down 15 percent from its IPO last March.
Dropbox, which is valued privately at $10 billion, is said to be in talks with other banks to fill additional roles on the IPO. The San Francisco-based firm could be one of the biggest U.S. enterprise technology companies to list domestically in recent years.
The company achieved its $10 billion valuation in its last private funding round in 2014. Goldman Sachs advised the company on earlier funding rounds and extended the company credit, while JPMorgan led a $600 million credit line to Dropbox last year.
While it’s uncertain whether the company will be able to initially sell shares above its current valuation, sources say the stock could trade higher once it’s public.