technology

Jobs Website Glassdoor Interviews Banks for 2018 IPO

  • Company could aim to sell shares in second half of the year
  • 2016 funding round valued Glassdoor at more than $1 billion

Possible Glassdoor IPO

Glassdoor Inc. is interviewing banks to advise on an initial public offering that could come as soon as this year, people familiar with the matter said.

The employment website operator is aiming to sell shares in the second half of 2018, the people said, asking not to be identified as the details aren’t public. Revenue at the Mill Valley, California-based company is growing about 30 percent year-over-year and Glassdoor is breaking even, the people said.

Glassdoor was founded in 2007 by Robert Hohman and Tim Besse, along with Rich Barton, who started travel website Expedia Inc. and co-founded real estate marketplace Zillow Group Inc. Glassdoor runs the second-largest job website in the U.S. and is known for hosting anonymous employee reviews about the culture and management of their companies.

Glassdoor also sells recruitment services and other solutions to companies, including job advertisements and enhanced profiles.

Samantha Zupan, Glassdoor’s vice president of global corporate communications, said the company couldn’t comment on unsubstantiated reports.

Bloomberg’s Alex Barinka explains Glassdoor’s potential IPO.

Source: Bloomberg

New CFO

James Cox, the former chief financial officer of publicly listed Advent Software Inc., joined Glassdoor this month. Hohman, Glassdoor’s CEO, said that Cox’s “leadership, vision and rich expertise in both public and private financial matters will prove invaluable,” according to a statement at the time.

Glassdoor raised $40 million in 2016 in a financing round led by T. Rowe Price Associates Inc., bringing total fundraising since it was founded to about $200 million. Its bench is stacked with late-stage investors that often back companies moving toward IPOs, including investment firm Tiger Global Management LLC and CapitalG LP, a growth equity unit of Alphabet Inc.

The 2016 financing valued Glassdoor at more than $1 billion, Hohman said at the time. He also said the company was in no rush to go public, though an IPO was a matter of “when not if.”

Private Rounds

Equity markets have surged by more than a third since those comments. A slump this year hasn’t so far disrupted technology companies’ plans for IPOs or private financing plans. Many firms are still favoring private rounds, one of the people said, in part because SoftBank Group Corp. is still putting its $100 billion tech fund to work in private deals.

File-sharing company Dropbox Inc. filed for its initial public offering Friday and is aiming to list in the first half of this year, a person familiar with the matter said in January. The San Francisco-based company could be one of the biggest U.S. enterprise technology businesses to list domestically in recent years, based on its most recent valuation of about $10 billion.

Survey software maker SurveyMonkey Inc., a startup founded in 1999 that has stayed private longer than most, is a possible IPO candidate for late 2018 or early 2019, one of the people said. The company’s expansion slowed a year or so ago and it cut jobs in 2016, but growth has been revived recently, the person said.

A SurveyMonkey spokeswoman declined to comment.

In Europe, Dutch digital payments processor Adyen BV is working with banks including Morgan Stanley and JPMorgan Chase & Co. for its IPO in Europe. The company this month signed a deal to handle transactions on EBay Inc.’s online marketplace.

— With assistance by Julie Verhage

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