GoPro Files IPO: Extreme HD Sport Camera Created by Surfer Nick Woodman Worth $1 Billion
The company behind the mountable, all-around sports camera, GoPro filed for an initial public offering with the Securities and Exchange Commission in the U.S. on Monday.
The camera is popular among extreme sports enthusiasts such as daredevil Felix Baumgartner, who holds the record for the highest skydive with five GoPros mounted on him. Surfer Nick Woodman, who is also the company's CEO, founded the company in 2004 for fellow enthusiasts and athletes, so they could film their adventures at an affordable price. The GoPro costs around $200. It's also mountable, so it can be attached to straps, helmets, handles, and much more. What's more, since it launched the high-definition model in 2009, the company has sold more than 8.5 million units of the HD cameras in more than 100 countries.
Being the main supplier of the unique and rugged camera specially designed for the outdoors, GoPro has shown significant profitability over the past three years, with revenues of $985.7 million and a net income of $60.6 million in 2013 -- almost double the earnings of the year prior. Its growth puts the company in a very good position to go public.
GoPro possesses the kind of revenue growth investors are looking for, and aside from its hardware, the company has also launched software called GoPro Studio to make creating and editing videos easier for consumers so they can upload their adventures. There's also an online platform called the "GoPro Network" where videos are posted and aired for the whole GoPro community to see.
GoPro will be trading with the symbol GPRO on the NASDAQ exchange. The number of shares to be sold and the price of the stock offering have not yet been revealed, but the company indicated that it plans to raise at least $100 million, which it will use to pay debts and fund further acquisitions of complementing technologies, businesses, or other assets.