Blog Post

Danger Files For $100 Million IPO; $56.4 Million In ’07 Revenue; To Trade Under ‘DNGR’

Palo Alto-based Danger, a developer of mobile platforms and services, has filed to raise up to $100 million in a NASDAQ IPO. The company behind the T-Mobile Sidekick device and related services says it did revenues of $54.6 million in the fiscal year ending Sept 30, up 14 percent from the previous year’s revenue of $49.3 million. Net loss for the year was $12.4 million. Underwriters include Deutsche Bank Securities, UBS Investment Bank, Thomas Weisel Partners LLC, Pacific Crest Securities, and Think Equity Partner. Backers have included Mobius Technology Ventures, Redpoint Ventures, T-Mobile Venture Fund, Motorola, (NYSE: MOT) Meritech Capital Partners and Venture Strategy Partners. It plans to list under the ticker “DNGR”.

Other highlights:

— T-Mobile accounts for 92 percent of the company’s revenue, and it expects to be dependent on the operator for the majority of its revenue for the forseeable future. Danger’s existing contract with T-Mobile USA expires December 31, 2008, at which point the operator may elect to extend the deal by another three years.

— On iPhone competition: “If subscriber turnover increases more than we anticipate, our financial results could be adversely affected. For example, during the three month period ended September 30, 2007, subscriber turnover increased as compared to the prior three-month period, which we believe was due to the commercial introduction of Apple (NSDQ: AAPL) Inc.