LegalZoom.com Sets Terms for $88 Million US IPO
LegalZoom.com (NYSE:LGZ), a provider of online legal services to consumers and small businesses in the US, announced terms for its IPO on Monday.
The Glendale, CA-based company plans to raise $88 million by offering 8.3 million shares (53% insider) at a price range of $10.00 to $12.00. Stockholders are also selling 4.2 million shares. The rest of the shares will be sold by its majority-backer Polaris Venture Partners and certain executives.
At the midpoint of the proposed range, LegalZoom.com would command a fully diluted market value of $483 million.
The company has about 300,000 subscribers. LegalZoom.com targets a profit of $1 million to $1.6 million, for the quarter ended June 30, on revenue of $48 million to $50 million.
Morgan Stanley and BofA Merrill Lynch serve as lead underwriters to the offering.
LegalZoom.com, which was founded in 1999 and booked $165 million in sales for the 12 months ended 3/31/2012, plans to list on the NYSE under the symbol LGZ. Morgan Stanley and BofA Merrill Lynch are the joint bookrunners on the deal.