Brightcove, a US-based digital media company, set the range for its initial public offering (IPO) on Monday between $10 and $12. Brightcove will be issuing five million shares in the offering, which could raise up to $69m.
Brightcove’s two largest shareholders are venture capital firms Accel Partners and General Catalyst Partners, each of which hold 26.4% stakes, a slight change from the initial filing where General Catalyst’s 26.6% share exceeding Accel’s 24.5%.
Additional backers in Brightcove, which has raised more than $100m through preferred and common stock, are media company the New York Times, media conglomerate IAC, customer service outsourcing firm Transcosmos, advertising company Dentsu, content delivery service J-Stream, advertising network Cyber Communications, financial services firm Allen & Company, corporate venturing units GE Commercial Finance and Hearst Ventures, hedge fund sponsor Maverick Capital, asset management firm AllianceBernstein and Brookside Capital, an affiliate of private equity firm Bain Ventures,.
Internet corporation AOL is a former shareholder, having participated in Brightcove’s series B round in 2005, but divested its stock – more than 5% of Brightcove – in December 2010.
Brightcove is responsible for a cloud-based video platform that enables clients to deliver professional quality videos online, with analytics and options for adding tools and monetisation.
Of the flotation’s proceeds, $7m will be used to repay a loan from the Silicon Valley Bank, with the rest left for general corporate purposes and working capital.
Morgan Stanley, Stifel, Nicolaus & Company, RBC Capital Markets, Pacific Crest Securities and Raymond James & Associates will act as underwriters for the offering.