Skype files for IPO; to raise $100 million

MUMBAI: In its bid to raise $100 million to diversify and boost its user base and revenue, Internet phoning giant Skype has filed for an IPO. For this matter to fructify, the Luxembourg-based company would sell as much as $100 million of depositary shares held by its existing owners.

The company plans to use the money it raises from the IPO for "general business purposes" as it follows a strategy to grow both its base of free users and paid subscribers, increase its marketing and advertising revenue and expand its services for businesses.

Zennstrom and co-founder Janus Friis then filed a litigation against eBay, which had failed to acquire key Skype software when it purchased the VoIP company. The litigation was settled when the Skype founders received an undisclosed amount of Skype equity.