Chegg IPO to raise USD172.50 million

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On Thursday, textbook rental and academic services startup Chegg said intended to raise up to USD172.5 million in its public listing. According to its latest prospectus filed with the US Securities and Exchange Commission, Chegg would be pricing its shares within USD9.50 to USD11.50 price per share.

The New York Times' The DealBook calculated that should the initial public offering be successful, it would put Chegg's value at USD906.2 million midrange. Moreover, the news agency also speculated that should Chegg's underwriters opted to sell additional shares, otherwise known as a greenshoe option, Chegg would stand to raise up to USD198.4 million. The IPO would be led by Bank of America Merrill Lynch and JPMorgan Chase.

Founded in 2005, Chegg had amassed 180,000 titles in its massive catalog, and had plans to build out its electronic services in the future. The academic company's IPO would be one of the most closely monitored public listings in the technology industry, the DealBook noted.

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