Lending Club, the online marketplace for loans, has raised its IPO price range to $12 to $14 a share from $10 to $12.
At the top range of that, Lending Club will raise up to $929 million when it goes public tomorrow, which makes it the largest IPO for a US tech company this year. On a fully diluted basis, Lending Club will be worth more than $6.5 billion.
The IPO price increase also means that its CEO, Renaud Laplanche, just added roughly $29.8 million to his total net worth. Laplanche owns 14.9 million shares, or 4.7% of the company, and at the mid-price of $13 a share, he’ll be worth nearly $193.6 million after the IPO.
Lending Club had $143 million in sales in the first nine months of this year, up 122% from the same period of last year. But like many other fast-growing tech companies, it’s losing money, with a net loss of $23.9 million this year, according to its S1.
The company claims it processed over $6 billion worth of loans since its founding in 2007, making it the largest peer-to-peer lending platform in the US. It’s raised nearly $400 million in funding so far from VCs like Kleiner Perkins and Norwest Ventures. Its board members include Kleiner Perkins’ Mary Meeker, ex-Morgan Stanley CEO John Mack, and former US Treasury Secretary Larry Summers.
Here’s a chart that shows how fast Lending Club has been growing:
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