LinkedIn’s $1bn fundraising may see further acquisitions

Professional social network LinkedIn is to attempt to sell $1bn (£640m) in shares, which it says may be used for “potential strategic acquisitions of, or investments in, complementary businesses, technologies or other assets”.
Wed, 4 Sep 2013Professional social network LinkedIn is to attempt to sell $1bn (£640m) in shares, which it says may be used for “potential strategic acquisitions of, or investments in, complementary businesses, technologies or other assets”.

This is according to an investors note from the company released yesterday [3 September], and comes two years after what the Financial Times today calls “one of the most successful social media initial public offerings [ie. floats] to date”.

The money raised would be used “primarily for general corporate purposes, including working capital, expansion of its product development and field sales organisations, international expansion, general administrative matters and for capital expenditures, including infrastructure”, LinkedIn says.

LinkedIn has only announced one acquisition this year to date, a $90m deal for news reader and mobile content distribution platform Pulse, in April.

The company’s stock has more than doubled in worth since finishing 2012 at $114.82, now exceeding $240.

LinkedIn, which recently launched University pages and invited users as young as 13 to sign up, generates well over half of revenues from its Talent Solutions recruitment products.

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