Roku Inc., the maker of devices and software for streaming video in that was an early challenger to traditional home-entertainment providers, filed for a U.S. initial public offering.
The company listed an initial offering size of $100 million, which it asserted is a placeholder used to calculate fees and will probably change. The- company plans to use the proceeds for general corporate purposes in addition to research and development and marketing, reportedly a filing Friday with the U.S. Securities and Exchange Commission.
Roku was an early mover in what is now a crowded market of home devices and streaming tools. Itâ€™s a specialist in an industry in which several technology giants, in addition to Apple Inc., Alphabet Inc.â€™s Google and Amazon.com Inc., are now focusing intently.
The company, which has-been losing cash since it began in 2002, acknowledges the risk of the â€œhighly competitiveâ€� market, reportedly its regulatory filing. While competitors may be able to afford to lose cash on their devices, Roku asserted its advantage is in its neutrality. Unlike some of the other players, Roku isnâ€™t competing with content providers by making original programming.
â€œOur mission is to be the TV streaming platform in that connects the whole entire TV ecosystem,â€� Chief Executive Officer Anthony Wood wrote in the filing.
Roku asserted it made $11.22 in average revenue per user in the four quarters stopped on June 30 compared with $9.28 at the end of 2016. The- company asserted its growth strategy is to increase the number of active accounts and the amount of revenue it makes per user — cash they make when consumers order a streaming-video service, or through advertising deals. Ads and subscription-revenue share make up about 40 % of total sales.
Roku had 15.1 million active accounts using its streaming services as of June 30, reportedly the filing. For the six many months stopped June 30, Roku had revenue of $199.7 million, a 23 % increase from the same period in 2016, reportedly the filing.Â
Morgan Stanley and Citigroup Inc. are leading the offering, which will be listed on the Nasdaq Global Select Market under the symbol ROKU. The- company will bid Class A shares. The- companyâ€™s seven non-employee directors are venture capitalists and current and former executives in tech and media. All are men.