Dropbox sees IPO price between $16 and $18 per share


The DropBox logo is seen in this illustration

According to a Bloomberg calculation, the transaction would value Dropbox at US$7.1 billion, less than its US$10 billion value during a prior private capital raising effort in 2014.

While the Class A shares have little voting power, they indicate the company values itself at about $8 billion -a bit less than the $10 billion level it touted in private funding efforts almost four years ago. Salesforce's venture arm has agreed to buy $100 million in shares.

Dropbox wants to raise as much as $648 million when it debuts on the stock market.

With Dropbox preparing to go public and music streaming service Spotify working away on its own stock market listing, analysts will be watching closely for more highly-valued and privately-held companies making the big move. There are 19 pre-IPO decacorns at present and many are watching with bated breath to see how Dropbox will perform, particularly in the aftermath of Snap's IPO in March 2017 and the volatile results that followed.

Salesforce and Dropbox are expanding their strategic partnership, integrating the customer relationship management (CRM) software vendor's platform with the cloud storage vendor's collaboration platform.

Salesforce is also going to be a part of the initial offering.

Dropbox company has touted its business as a path to unleashing creative energy and inspired work.

Dropbox will list on the Nasdaq under the stock ticker DBX.

More than 500 million people have signed up for Dropbox, but only 2% pay for subscriptions.

Dropbox became a leader in storing and sharing documents, photos and files online. The first integration will be the integration of the Commerce Cloud and Marketing Cloud with Dropbox wherein companies will be able to create customized Dropbox folders within Salesforce Commerce Cloud and Marketing Cloud with the new digital asset engagement offering. In the same period, the company's net losses shrank to US$112 million from US$210 million.

Goldman Sachs & Co, JPMorgan, Deutsche Bank Securities, BofA Merrill Lynch are the lead underwriters for the public offer.

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