Redfin, the real estate site based in Seattle, has finally raised its IPO. Founded in 2004, this was 13 years in the making. Despite an ugly patent lawsuit..
Redfin, the real estate site based in Seattle, has finally raised its IPO. Founded in 2004, this was 13 years in the making.
Despite an ugly patent lawsuit from a former co-founder over one of Redfin’s pending patent applications — one filed just this Monday — the company priced above the $12 to $14 range, at $15 per share, a number that values the company at $1.2 billion. It also means the company just raised $138 million.
Redfin has garnered at least $167 million in equity funding over the years, with Greylock Partners its largest shareholder, with a 12.4 percent stake prior to the IPO. Madrona Ventures holds 11.4 percent, Tiger Global has 10.5 percent and DFJ owns 10.2 percent.
Redfin’s 2016 revenue was $267.2 million, up from $187.3 million in 2015 and $125.4 million in 2014. Losses were $78 million last year, down from $132.5 million in 2015.
Redfin’s first quarter of 2017 saw losses of $52.8 million, up from the $29.5 million loss in the same quarter of last year. This was when they began originating and underwriting loans through a new program, Redfin Mortgage.
The company is listing on the Nasdaq under the ticker symbol “RDFN.” Goldman Sachs and Allen & Co. led the offering.
