Is the company actually worth $10 billion?
The joke surrounding Dropbox for years was that the company was set to go public in the fourth quarter of that year — every year.
The file-storage company filed papers confidentially to go public, Bloomberg reported Thursday, for a much-delayed and much-anticipated IPO later this year. The listing will test Dropbox’s most recent valuation, $10 billion, which has been criticized by some investors as overvalued and too outdated.
The 10-year-old company’s exit will be a big win for the relatively small number of investors who got access to it: Sequoia, Accel, Index Ventures and Y Combinator, the incubator that has branded itself in part with the prestige of its early investment in Dropbox.
But the company hasn’t raised a new round of financing since 2014, and it has been speculated as a top IPO candidate for nearly every year since then. Dropbox waited and waited. It watched as its main competitor, Box, tried public markets with its own IPO in 2015, only to see its stock price fall over the following six months.
Dropbox, led by founder Drew Houston, also since then has pivoted to its enterprise business; a year ago it said it had achieved a $1 billion revenue run rate. The company has steadily been adding independent directors like Meg Whitman to its board, another sign it was serious about an impending IPO.
Leading the company’s IPO will reportedly be Goldman Sachs and JPMorgan Chase.
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