Announced in a column on ZDNet this morning, Newegg, the online retailer, and one of the few places left to get both great quality and low prices, is going public, with stock offerings soon.
Online electronics retailer Newegg is going public, launching an IPO estimated at $175 million, according to a filing with the Securities and Exchange Commission today.
The retailer has largely been focused on IT products such as hardware, software and peripherals since its launch in 2001 but recently has expanded into the consumer electronics business and products that are targeted at small- to medium-sized businesses. It has also expanded beyond the U.S., moving into Canada and China.
Last year, it reported net sales of $2.1 billion. In its SEC filing, the company summed up its outlook on the growth potential for online retail sales in its core target markets:
The article says that Newegg will continue to expand operations, and build a regional center in Asia, so it seems clear that the company wants to go global, meaning that soon there will be a Nouveau Oeuf everywhere.
How much expansion the company will make is anybody’s guess, but there is a lot of space to be filled, where once there was a vibrant market in electronics, there remains but a few retailers, most not worth mentioning.
The ability of Newegg to bring products and services to more people will make it harder for places like Best Buy and Radio Shack to further expand, so that fewer people will be getting abused by those companies. Perhaps the company will come up with more OEM equipment (like its Rosewill branded offerings), which will allow users to have better access to quality economically.