New Stocks: Go Daddy
Go Daddy filed for an IPO all the way back in 2006, but the deal had to be scratched. However, 2014 might end up being a much better year for Go Daddy to go public. After all, investors have shown a large appetite for cloud-based IPOs, as we’ve seen with offerings from new stocks like Workday (WDAY), Veeva Systems (VEEV) and ServiceNow (NOW).
As for Go Daddy, it is now the largest domain name registrar and web hosting provider. There are more than 12 million customers and an extensive infrastructure, which includes nine main data center facilities that help the company manage its 55 million domains. For the current year, Go Daddy is expected to hit $1.43 billion in revenues.
A few years ago, a group of private equity firms including KKR (KKR), Silver Lake Partners and Technology Crossover Ventures bought Go Daddy for about $2.25 billion. And back in May, a partner from KKR took the reins as the company’s CEO. As seen with standout deals like Dollar General (DG), KKR knows the IPO game quite well, which should give Go Daddy a lot of confidence for becoming one of the hottest new stocks in 2014.