backtop


Print 80 comment(s) - last by JKflipflop98.. on Oct 6 at 5:58 PM

Newegg finally goes public, with financial analysts expecting big things

Online retailer Newegg today announced plans to go public, filing for a $175 million IPO, according to an SEC filing.

Newegg is best known as a technology e-tailer, but has expanded of late to include other consumer electronics.  Since launching in 2001, the company has been profitable every year, with $2.1 billion in sales in 2008.  In 2007, the company saw $1.9 billion in sales, with the number expected to increase as Newegg expands its business.

The company has seen dramatic success after making changes to support small- and medium-sized businesses in the United States.  Newegg also has its sights outside the United States, with China expected to be an important step in the company's continued expansion.  Furthermore, Canada also is expected to be a big market for Newegg, with many Canadians long requesting to be able to make purchases from the site.

The company does have to deal with several issues in the immediate future, including a patent infringement lawsuit filed by Soverain Software, according to the IPO registration filing.  If Soverain is successful in getting an injunction against Newegg, the company may be forced to "stop or alter certain of our business activities."

In the future, Circuit City -- although its physical stores went bankrupt, a liquidator purchased the company's online business and keeps it running -- will lead the charge of online businesses that aim to derail Newegg.

The IPO will be handled by Citi, JP Morgan, and the Bank of America, with Newegg's largest shareholder, Insight Venture Partners, also completing another IPO earlier in the year.



Comments     Threshold


This article is over a month old, voting and posting comments is disabled

RE: I'll stick with Newegg and Amazon
By Sazar on 9/29/2009 9:32:30 AM , Rating: 2
The issue with this is this is your anecdotal experience.

For better or worse, Dell does offer one of the larger online catalogs of IT equipment, top to bottom. I have had some minor issues with Amazon, Dell and Newegg (3 sites I order from typically) but for the most part, all of them work well and get me the items I order within the time-frame I expect.

All have good customer care and return policies, with Amazon and Dell having lower costs for returns. And if you look around, you will see horror stories with all of the online e-taillers.


By pepito perez on 9/29/2009 5:52:34 PM , Rating: 2
I agree all the dealers have horror cases. My warning is not about my case (which affected a number of people but could still be considered one-off) but about the fact that Dell sell out of stock, 3rd party items without telling you. In consequence the consumer can't make an educated choice of the risks they are taking when ordering from Dell.

I'm not trying to moan about my problem (is done and dusted) just to help other consumers when shopping around.


"I f***ing cannot play Halo 2 multiplayer. I cannot do it." -- Bungie Technical Lead Chris Butcher

Related Articles













botimage
Copyright 2014 DailyTech LLC. - RSS Feed | Advertise | About Us | Ethics | FAQ | Terms, Conditions & Privacy Information | Kristopher Kubicki