Groupon rejigs accounting prior to $20bn IPO
Online deal business reconsiders how it presents marketing and subscriber-acquisition costs
ONLINE US deal business Groupon has changed its accounting methods as it attempts to launch on the New York Stock Exchange.
A metric used by Groupon that removed costs of marketing and gaining subscribers has effectively been sidelined by the business in its IPO documentation.
“While we track this management metric internally to gauge our performance, we encourage you to base your investment decision on whatever metrics make you comfortable,” stated chief executive Andrew Mason in the document.
Groupon is attempting to raise $750m (£463m) in the IPO process, valuing the loss-making business at $20bn. However, reports suggest concerns among analysts over the value placed on the business.
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