FitBit Files IPO As Sales Double

Fitbit, the maker of wearable activity trackers, has filed to go public and has reported some strong sales numbers in its presenation.

The company seeks to raise as much as US$100 million, according to a regulatory filing, though the amount is subject to change. Fitbit plans to list its stock on the New York Stock Exchange under the symbol “FIT.”

The filing reveals what seems to be a healthy business. The company sold roughly 10.9 million devices in 2014,more than double what it sold in 2013 and more than eight times as many as it sold in 2012.

Fitbit also more than doubled its revenue between 2013 and 2014, to more than $745 million. Sales in 2012 were about $76 million.

The company posted net income of nearly $132 million in 2014, up from a loss of roughly $52 million the year before.

Meanwhile, the company’s paid active users grew from 2.6 million in 2013 to 6.7 million in 2014.

Fitbit, founded in 2007, makes a number of activity-measuring bracelets and trackers that can be synced with an online dashboard and mobile apps. The company also provides premium services like virtual coaching and customized fitness plans.

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Is RadioShack Going Bankrupt?

Troubled electronics retailer RadioShack Corp says filing for bankruptcy protection is an option if its cash situation worsens, after reporting its tenth straight quarterly loss.

The company said it was also exploring other options, including a sale or an investment, and liquidation as the last resort.

RadioShack, whose sales have been in free-fall since 2010 as it struggles to compete with internet retailers, said in a regulatory filing it was working with its lenders and landlords to restructure its debt and cut costs.

“It would surprise me if we got to Nov. 1 without a bankruptcy,” Wedbush Securities Inc analyst Michael Pachter told Reuters.

RadioShack shares, which are in danger of being delisted from the New York Stock Exchange, were up 2 percent at 95 cents in volatile early trading.

The company said same-store sales declined 20 percent in the latest quarter, while total sales plunged to their lowest in more than 20 years.

The company is being advised by a restructuring attorney at law firm Jones Day as it tries to strike a deal with creditors to close stores, two people close to the matter told Reuters on Wednesday.

RadioShack tried to close 1,100 stores this year, but reduced that number to 200 a year when lenders did not agree to the plans.

RadioShack’s landlords, however, may be open to mass store closures if they believe it will allow them to find new tenants more quickly than in a bankruptcy, a source close to the matter told Reuters.

David Tawil, president of hedge fund Maglan Capital that focuses on companies approaching bankruptcy, said he saw “major execution risks” to RadioShack’s recapitalization and turnaround efforts.

“I don’t think that the chances are great that RadioShack survives,” Tawil said, adding that the company’s credit default swaps were trading higher, pointing to market expectations of a near-term debt default.

The company ended the second quarter with $30.5 million in cash and $658.0 million in debt, which matures between 2018 and 2019.

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Will Twitter IPO Shares Reach $20?

Twitter has decided to price its IPO shares between $17 and $20 when it lists on the New York Stock Exchange, the company said in its filing.

Based on an assumed initial public offering price of $18.50 — the midpoint of the range — Twitter estimates the net proceeds from the sale of shares of common stock will be roughly $1.25 billion, the company said in documentsfiled with the U.S. Securities and Exchange Commission.

Some 80.5 million shares of common stock will be registered, according to the filing.

Releasing its IPO price range positions Twitter to begin its “road show,” seeking to raise funds from investors across the country. In documents filed last week, the company said it would list its shares under the ticker symbol TWTR on the New York Stock Exchange, representing a big win for the market over rival Nasdaq.

Twitter has yet to determine a date for the listing, though one report suggested Nov. 15 could be the day.

Twitter’s IPO is likely to be one of the hottest of the year and the most prominent in social media since Facebook went public last year. Twitter’s share price range will be markedly lower than Facebook’s, which priced its IPO at $38 per share.

Twitter filed for its highly anticipated public offering earlier last  month.

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Does Yahoo Have a Buyer?

Blackstone Group and Bain Capital are putting together a bid for all of Yahoo Inc with Asian partners in a deal that could value the Internet company at about $25 billion, a source familiar with the discussions said on Wednesday.

The potential bid by the group, which would include China’s Alibaba Group and Japan’s Softbank Corp, has not yet been finalized, the source and two other people familiar with the matter said.

Chinese e-commerce giant Alibaba, whose primary interest is in buying back a 40 percent stake owned by Yahoo, is keeping its options open and said it has not decided whether to participate in a bid for all of Yahoo.

“Alibaba Group has not made a decision to be part of a whole company bid for Yahoo,” Alibaba Group spokesman, John Spelich, said in an emailed statement on Wednesday.

Yahoo’s shares, which closed at $15.71 on the New York Stock Exchange on Wednesday, gained 6.4 percent to $16.72 in after-hours trading, valuing the company at more than $20 billion.

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