NEW YORK (TheStreet) - GoPro, the maker of durable digital camera that can be used to capture adventure sports, is seeking a valuation of about $3 billion in its initial public offering on the Nasdaq.
The fast-growing action sports camera company said in an amended S-1 filing with the Securities and Exchange Commission on Wednesday it would look to sell over 17.8 million shares for between $21-and-$24 a share apiece, raising over $427 million at the high-end of its IPO price range.
One-half of the proceeds from the offering will be used to cash out some existing GoPro investors, while GoPro is expected to receive $183.1 million in net proceeds at the midpoint of its IPO price range. Those funds will be used to repay GoPro's $120 million term loan and for general corporate purposes, the company said in the S-1.
Currently, the vast majority of GoPro's revenues come from the sale of its HERO3 and HERO3+ cameras, in addition to accessories like Wi-Fi remotes, batteries, and camera mounts. In 2013, GoPro reported $985 million in sales, a near doubling from 2012 levels. Net income at GoPro also nearly doubled to $60.5 million.
However, revenue growth slowed in 2013, and the company's prospectus shows that revenue actually fell about 7% in the first quarter of 2014 to $235.7 million. Revenue did grow during the fourth quarter, buoyed by holiday sales.