Apr. 18 2011 - 2:48 pm by Tomio Geron for Forbes.com
Online real estate company Zillow filed for an IPO today, with an estimated total offering of $51.75 million.
However, the company had a net loss of $6.8 million in 2010, cutting its loss from $12.9 million in 2009 and $21.2 million in 2008.
A lack of profitability seems to be something Wall Street can overlook–see Zipcar’s offering last week–if there’s a strong growth story. Zillow has 100 million homes now listed on its website. And as of March, it had 19.4 million unique users on its website and mobile apps, which is 90% year-over-year growth.
The company makes money from real estate professionals, who subscribe to its services, as well as mortgage brokers and advertisers.
Last week Zillow acquired real estate listings company Postlets.
Citi is the lead underwriter on the deal. Allen & Co., Needham & Co. LLC, ThinkEquity LLC and First Washington Corp. are also part of the offering.
Venture investors in Zillow who stand to cash in include Benchmark Capital, which owns 19%, Technology Crossover Ventures, which owns 29.9%, and Par Investment Partners, which owns 11.1%.
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