Earlier, Williams delivered a speech in which he said, "It's better to take preventative measures than to wait for disaster to unfold."The Fedread more
The country's Revolutionary Guards say they will soon releasePoliticsread more
Regional stability, oil prices and potential for war will all depend on what Iran does with its nuclear program in the event of the deal's termination.World Politicsread more
Boeing will take a nearly $5 billion charge in the second quarter to compensate 737 Max customers as the planes remain grounded.Airlinesread more
Market researcher James Bianco believes it's crucial to get a half point cut at the next Federal Reserve meeting.Trading Nationread more
The base version of the sports car will punch out 495 horsepower, 40 more than the seventh-generation car and enough to launch it from 0 to 60 in "less than three seconds"...Autosread more
President Trump said he's looking at the JEDI contract that will be awarded to Microsoft or Amazon.Technologyread more
Taiwanese President Tsai Ing-wen is expected to stop over in the U.S. on Friday on her way back from visiting diplomatic allies in the Caribbean, a move that's sure to make...China Politicsread more
Animation fans and Kyoto residents gathered at the site of Japan's worst mass killing in 18 years on Friday, offering flowers and prayers for the 33 people who died in an...Asia Newsread more
Libra and bitcoin are different in a lot of ways, from the technology behind them to the way they're used.Technologyread more
Microsoft beat on top and bottom lines, and guidance was just ahead of expectations, but the company's Azure growth is slowing down.Technologyread more
As LendingClub prepares for its stock market debut on Thursday, the price has ballooned to $15 a share, and each firm owns more than $700 million worth of stock in the San Francisco-based company.
According to research from EquityZen, investors in LendingClub's first round of funding, or Series A, made more than 55 times their money, based on the IPO price. Amidzad partners was also part of that round.
Oddly, Series B investors, which included Morgenthaler Venture Partners and Bay Partners in addition to Norwest and Canaan, did even better. Because of a plummeting stock market and a greater regulatory burden on peer-to-peer lenders, investors in the 2009 financing round paid only 19 cents a share, for a return of 80 times their money, according to EquityZen.
"Venture remains one of the few asset classes where a 50-fold return in under 10 years is a real possibility," said Shriram Bhashyam, founder of New York-based EquityZen. "LendingClub is proof positive."
LendingClub priced its IPO Wednesday night above the $12-$14 expected range, indicating plenty of investor demand. The company, which issues consumer loans by matching borrowers with individual and institutional investors, originated $3 billion in loans in the first three quarters of 2014, more than double the amount a year earlier.
Should the stock shoot up right away, as often happens with tech IPOs, investors will be sitting on even bigger paper gains. But more important is what happens over the next six months, as insiders are forbidden from selling shares during the so-called lock-up period.
Norwest is the top shareholder with a stake worth $762.3 million. Founder and Chief Executive Officer Renaud Laplanche is the biggest individual owner, with holdings valued at $223.5 million.
The stock will trade on the New York Stock Exchange under ticker symbol LC. LendingClub raised $870 miliion in the share sale, marking the biggest IPO of a U.S. tech company this year.
Even Series C investors from 2010 are making a killing. Led by Foundation Capital, they paid 39 cents a share, returning more than 38 times their money, according to EquityZen. Union Square Ventures led the Series D a year later at 89 cents, for a 17-fold return. And Kleiner Perkins Caufield & Byers came in at $1.75 in 2012, making 8.6 times its money.
EquityZen is a start-up founded last year to help a wider swath of investors get access to the tech start-up market and help early employees sell portions of their equity.