Chegg's initial public offering is said to be closely monitored amongst the tech community. Chegg is a start-up company centered on academic services and textbook rental. It mainly focuses on the rental of textbooks for one semester at a time which contains 180,000 titles in the catalog.
Currently, Chegg is building up its electronic services which holds potential in the future. The company claimed it has reached 30% of college students across the US and 40% of high school seniors bound for college.
On Thursday, Chegg announced that it hoped to raise USD172.5 million in IPO in report by The NY Times' The Dealbook. The chief executive of Chegg, Dan Rosensweig, was a former executive of the search engine, Yahoo! Chegg's backers include Insight Venture Partner, Pinnacle Ventures and Kleiner Perkins Caufield & Byers.
Chegg claimed it earned USD22.7 million. This amount was before the interest, amortization, taxes and depreciation had been taken from the nine months which ended in September 30. Chegg's adjusted earnings is almost fourfold from results taken a year before.
In the first nine months of 2013, Chegg had experience a rise in net revenue of 23% amounting to USD178.5 million. The company's loss has narrowed to 12% amounting to USD50.4 million.
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