Boingo is looking to raise money through an IPO according to a recent filing
Attention has been on Groupon and they’re rumored IPO to raise $15 million recently. Meanwhile, Boingo, a wireless hotspot provider, has quietly filed for an IPO of it’s own. The company’s hope is it will raise $75 million in the sale of common stock.
The IPO market has been far from hot lately with not much happening. These two IPOs alone show there is signs of life for companies wanting to go public and that the IPO market may be heating up a bit. A successful IPO by Boingo would bode well for commercial Wi-Fi services, paving the way for other companies in the sector to follow suit.
Boingo provides services worldwide through 211,000 hotspots in 100 countries. Over 1.3 million customers are on it’s books, all paying for use of the hotspots. This has generated $59 million in recorded revenue for the first three quarters of 2010 alone. Gross profits were $5.7 million for that period.
The company is poised to take advantage of the increased importance users are placing on mobile devices and Internet service on the go. Boingo is working not only on direct relationships with customers, but as a partner of cellular carriers who are looking for relief from heavy data usage. Boingo hopes to offer offload services for the carriers.
