CBS MarketWatch reports that DreamWorks Animation plans to offer 29 million shares at $23 to $25 each in a bid to raise around $700 million in its initial public offering. The company is expected to go public within the next few weeks, trading on the New York Stock exchange with Goldman Sachs and J.P. Morgan as lead underwriters.
DreamWorks Animation is riding high on the recent success of Shrek 2, which has become the third-highest grossing film of all time behind Titanic and Star Wars. The studio’s latest animated release, Shark Tale, opened to a whopping $49 million to set an October box office record on its way to a two-week total nearing $100 million.
DreamWorks Animation’s total outstanding shares are said to be in the neighborhood of 105.6 million, including 57 million Class A shares and 48 million Class B shares. According to MarketWatch, the studio will be valued at $2.5 billion, which is roughly half the value Pixar holds in the market.