Bloomberg is reporting that Groupon is now printing money. By which we mean, the company is mulling an IPO valued at a whopping $25 billion . Groupon has only been in operation for two years, but already banks are reportedly unlikely to assign a value less than $15 billion, and the higher number Groupon is gunning for is a real possibility. Who'd have thought coupons were so big?
Groupon provides daily online deals where users buy in, but deals only become active when enough users have jumped on board. They currently have over 70 million users. The startup made waves recently when it snubbed a takeover offer from Google in the neighborhood of $6 billion.
It's been flat out growth for Groupon in the last year. In April of 2010 Groupon was valued at only $1.3 billion and still relied on funding from private investors. This news might have some of you shouting 'bubble!', but we can't say for sure if this is a rational value. What do you think?