LinkedIn's hiring solutions business, targeted at recruiters, accounted for about half of LinkedIn's $93.9 million in first-quarter revenue, with 30 percent coming from ads. LinkedIn's net income rose 14 percent to $2.08 million in the first quarter as sales more than doubled.
LinkedIn sold 7.84 million shares at $45 each this week. The company raised the proposed price range for its initial offering on May 17, to $42 to $45 a share, from $32 to $35. The sale raised $352.8 million.
Proceeds from the offering will be used to fund existing operations and expand the business, including possibly buying other companies or technologies, LinkedIn said in a filing with the U.S. Securities and Exchange Commission. Including an overallotment option for underwriters to buy an additional 1.18 million shares, LinkedIn may raise as much as $405.7 million.
Morgan Stanley
Morgan Stanley, Bank of America Corp. and JPMorgan Chase & Co. led the offering.
About 62 percent of the shares in the offering were being sold by LinkedIn, according to the prospectus. Other sellers include a venture capital affiliate of Bain Capital LLC, McGraw- Hill Cos., Goldman Sachs Group Inc. and founder and Chairman Reid Hoffman.
Venture capital backers Sequoia Capital, Greylock Partners and Bessemer Venture Partners aren't selling shares, according to the filing.