Spotify’s IPO made for an exciting day on Wall Street. But the bigger financial windfall may have gone to a company that staged its own high-profile IPO last month: Dropbox.
In a press release, Dropbox announced that given the strong showing of its own IPO, the investment banks that underwrote the offering exercised an option to buy another 5.4 million shares of stock from the company at the $21 per share IPO price. That’s a good deal, as Dropbox stock closed yesterday at $31.59 per share.
The company says it has now sold a total of 46,161,905 shares of stock with the IPO, which would bring the total proceeds to $969 million before underwriting expenses. The company says it has received $776.7 million of that in cash (before fees), with the other $192.7 million going to insiders selling stock into the IPO.
As with the original IPO, the latest fundraising of $113 million was split between the company and insiders selling their personal stock.
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Still, $776.7 million will come in handy as Dropbox continues to invest in the business. In contrast, Spotify raised exactly $0 in its IPO yesterday.
Dropbox is now valued at $12.4 billion, while Spotify closed yesterday with a valuation of $26.5 billion.
