By Mikal E. Belicove|For Entrepreneur.com|May 19, 2011
The much-anticipated linkup of LinkedIn on the New York Stock Exchange took place this morning, with the business-focused social network making its debut under the LNKD symbol. Based in Mountain View, Calif., LinkedIn operates the largest online professional networking service on the planet with more than 100 million members in more than 200 countries and territories.
LinkedIn (NYSE: LNKD) priced its initial public offering of 7.8 million shares at $45 a share, which gives the company a valuation of approximately $4 billion, or nearly 17 times its net revenues of $243 million for 2010. As of press time, the company’s now publicly-traded stock surged to an astounding $88.17 per share. It had traded as high as $92.99. Not bad for a business that got its start nine years ago in co-founder Reid Hoffman’s living room.
In case you’re wondering how exactly LinkedIn makes money: The company draws most of its income from selling recruiting and marketing services to businesses as well as premium services that are paid for by subscribers.
Nearly 2 billion people searched its platform last year when the company had roughly 500 employees around the globe, according to LinkedIn. At the beginning of 2011…
Continue reading LinkedIn’s IPO Could Spark a Social Gold Rush