Editor's Note: This content was originally published on
by Tim Parker.
If Twitter's S-1 is any indication, is should hit Wall Street
sometime in the middle of the next month. The stated valuation may
around $12.8 billion
but it's expected rocket up to about $20 billion once it reaches
), the hype machine will be full-on but eyes will quickly turn to
the next big IPO event. Pinterest hasn't given any indication that
it's in process of preparing an IPO or even thinking about it but
judging by the size of the platform, it has the makings of the next
company to put on IPO watch.
First, there's no absence of funding.
reported that it picked up another $225 million in late-stage
funding from a group led by Fidelity. This adds to the $200 million
it received in February valuing the company at around $3.8 billion.
That's well below Twitter's valuation but Pinterest has some
impressive stats that would indicate that the valuation has a lot
of room to the upside.
According to a report by Semiocast,
Pinterest has more than 70 million registered users with 79%
located in the United States. As of March, it had 50 million unique
users per month worldwide, and 55% of its new users come from the
Pinterest has an impressive 35% activity rate-the percentage of
those 70 million registered users that "pin" regularly. That's a
higher rate than other social networks including Twitter. Over half
of the registered users connected to the site in the four months
ending June 2013.
According to Shareaholic
, Facebook and Pinterest receive the most referral traffic online.
According to the report, "Facebook grew 58.81%, Pinterest by 66.52%
and Twitter 54.12%."
But what has investors interested is Pinterest's increasing
international focus. The company recently hired employees in France
and England-its first outside of the US, but it has a growing
presence in Italy and has indicated interest in Japan.
Like all early-stage social media companies, Pinterest has yet to
monetize. The company secured a deal that will allow it to come
preinstalled on some Android phones in Latin America and Europe but
it won't bring any direct revenue to Pinterest.
Pinterest is probably a little young to consider an IPO but with
its notoriety, growth rate, and increasing valuation, it's the next
social media company in line to consider.
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