Trulia expects IPO price at $14 to $16 per share

AP News
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Posted: Sep 07, 2012 2:20 PM
Trulia expects IPO price at $14 to $16 per share

SAN FRANCISCO (AP) — Real estate website operator Trulia Inc. said it expects shares of its planned initial public stock offering to price at $14 to $16 each.

The company and its shareholders plan to sell 6 million shares, which could raise up to $96 million. Trulia itself aims to sell 5 million shares, and wouldn't receive proceeds from stockholders' sales.

The banks managing the IPO may buy another 900,000 shares if demand is high.

The San Francisco company estimates proceeds of $65.8 million from the IPO if shares price at $15. The company plans to use the money for working capital and general corporate purposes, along with the possible acquisitions of other businesses.

Trulia, which operates website Trulia.com and mobile apps, allows people to research home listings and neighborhoods, while helping real estate agents market their listings. Its database includes 4.5 million homes for sale and rent.

In the six months ended June 30, the site had 22 million unique visitors and 360,000 active real estate professionals, with 21,544 of those paying subscribers.

Most of the company's revenue comes from sales of subscription products to real estate professionals. Trulia also generates revenue from ads.

In 2011, the company posted a loss of $6.2 million on $38.5 million in revenue. In the six months through June 30, its loss came to $7.6 million on revenue of $29 million.

The company plans to list its stock on the New York Stock Exchange under the ticker "TRLA."