With Twitter’s debut on the New York Stock Exchange off to a rousing start, it’s not too early to start looking ahead to Silicon Valley’s next hotly anticipated IPO: mobile payment service Square.
Square co-founder Jack Dorsey, who added more than $600 million to his fortune Thursday as Twitter’s co-founder and chairman, is eyeing a 2014 initial public offering, according to a Wall Street Journal report. The Journal said Square has begun talking to investment banks, including Goldman Sachs and Morgan Stanley, though no specific timing has been set.
Goldman Sachs has also been the lead bank in Twitter’s IPO. And last week, the Los Angeles Times reported Square added former Goldman CFO David Viniar to its board, adding an air of credibility to the startup.
Square, which was founded in 2009, is expected to reach $550 million in sales this year, the Journal reported, and projects a surge to more than $1 billion in sales in 2014. The rapidly growing company recently doubled its workforce and moved into new offices in San Francisco, just a block away from Twitter’s headquarters.
“We don’t feel we’re at even 1 percent of our potential,” Dorsey told the Merc’s Peter Delevett last month.
While, like Twitter, Square has yet to make a profit, the Journal reported Dorsey has a plan in place to make the company profitable by 2015.
Twitter and Square co-founder Jack Dorsey on the floor of the New York Stock Exchange on Thursday. Photo by Andrew Burton/Getty Images