| Sept 19
Sept 19 Online real estate listing service
Trulia Inc priced its initial public offering at $17 on
Wednesday, above its expected range of $14 to $16,
Trulia, based in San Francisco, said it raised $102 million
from the sale of 6 million shares.
The flotation comes after a successful IPO from its rival
Zillow Inc last year. Shares of Zillow, which went public
at $20 a share, closed Wednesday at $45.55.
Trulia's offering comes among a pickup in the IPO market,
one of seven deals this week after a month-long lull. Other
deals expected include financial services firm National Bank
Holdings; Susser Petroleum Partners LP, a wholesale
distributor of motor fuels; and electric vehicles maker Smith
Electric Vehicles Corp.
"The third quarter is always active in the last few weeks of
September as it builds momentum into October right before the
election," said Scott Cutler, executive vice president and head
of global listings at NYSE Euronext. "This is really the first
week of the fall IPO season."
Prior to this week, the last deal to list was Hi-Crush
Partners LP, a maker of proppants used in hydraulic
fracturing, which raised $191 million through its offering in
Excluding Facebook's $16 billion IPO, U.S. listed IPOs have
raised $16.2 billion so far this year, down 52 percent from the
comparable period in 2011, according to Thomson Reuters data.
Trulia is coming to market in a tough environment for
technology firms as share prices for firms like Facebook Inc
, Groupon Inc and Zynga Inc continue to
But Trulia may be a better barometer for the strength of the
sector, said Tim Curry, a partner at Jones Day based in Silicon
Valley who works with emerging growth and public technology
Companies like Trulia "drive a robust IPO market, as opposed
to the Facebooks of the world that can go public at any time,"
he said. "To us, it's a good sign that companies that are more
traditional IPO candidates, but are not necessarily household
names, can go out."
Trulia's real estate website and mobile app provide data on
home and neighborhood costs. It had 22 million monthly unique
visitors in the six months ended June 30.
In fiscal year 2011, Trulia's revenue nearly doubled to
$38.5 million, while its net loss widened to $6.1 million, from
$3.8 million in the previous year.
Trulia is selling 5 million shares, and company executives
including CEO Peter Flint and co-founder Sami Inkinen are
selling the remaining 1 million shares. The company's venture
backers, Accel Partners and Sequoia Capital, are not selling any
The IPO is being underwritten by JPMorgan, Deutsche Bank,
RBC Capital Markets, Needham & Company and William Blair.
Trulia will use the proceeds for working capital and other
general corporate purposes.