Chegg's IPO raises $187.5M at a $1.1B valuation

Chegg, a start-up focused on textbook rentals and academic services, priced its initial public offering on Tuesday at $12.50 a share, exceeding expectations.

At that price, the eight-year-old Chegg will have raised $187.5 million. The I.P.O. will also value the company at nearly $1.1 billion.

— The New York Times

This news is about one month old but I wanted to make sure it was noted here.

Most of those investors aren’t selling their shares, and the bulk of the I.P.O.’s proceeds will go toward building the company. But Aayush Phumbhra, one of Chegg’s co-founders, will pare down his stake by about 23 percent, to nearly two million shares.

— The New York Times

Aayush Phumbhra earned his graduate degree at Iowa State University where he purchased an existing online classifieds site "Cheggpost" that after many iterations became the current Chegg.

For more of the story, see The New York Times