Loudcloud files for IPO

Netscape co-founder Marc Andreessen's current venture has filed to go public.

Loudcloud on Tuesday filed with the Securities and Exchange Commission for an initial public offering. The company, which sells techonlogy and services for hosting Internet applications, was co-founded last year by Andreessen, who serves as chairman.

Goldman Sachs and Morgan Stanley Dean Witter are co-managers on the IPO. Thomas Weisel Partners and Epoch Partners are assisting.

The prospectus does not have a per-share offering range or the number of shares to be sold, although it lists a total offering price of $150 million. Proposed amounts to be raised are included in early filings solely to calculate a registration fee, and typically change as the actual IPO date approaches.

Andreessen is Loudcloud's second largest shareholder, with 18.2 percent of the company. Co-founder Benjamin Horowitz, who currently holds the president and CEO posts, owns 8.8 percent. A third co-founder, In Sik Rhee, is chief tactician and owns 8.3 percent.

Other major backers include Benchmark Capital, with 19.4 percent of Loudcloud.

Loudcloud only started generating revenue this year, and like most young technology companies, loses money. For the six month period ending July 31, the company lost $49.4 million on revenue of $1.9 million.

About 51 percent of Loudcloud's revenue in the July quarter came from Internet-based businesses. Two of those Internet customers generated 27 percent of the company's overall revenue.>