Chegg 2013 Annual Report Download - page 90

promulgated under Section 3(b) of the Securities Act as transactions by an issuer not involving any public offering
or pursuant to benefit plans and contracts relating to compensation as provided under Rule 701.
Use of Proceeds
On November 12, 2013, the SEC declared our registration statement on Form S-1 (File No. 333-190616)
effective for our IPO, which closed on November 18, 2013. An aggregate of 15,000,000 shares of our common
stock was sold in our IPO at a price to the public of $12.50 per share, consisting of 14,400,000 shares sold by us
and 600,000 shares sold by a selling stockholder. The underwriters of the offering were J.P. Morgan Securities
LLC, Merrill Lynch, Pierce, Fenner & Smith Incorporated, Jefferies LLC, Piper Jaffray & Co., Raymond
James & Associates, Inc. and BMO Capital Markets Corp.
As a result of the IPO, we received total net proceeds of approximately $162.9 million, after deducting total
expenses of $17.1 million, consisting of underwriting discounts and commissions of $12.6 million and offering-related
expenses of approximately $4.5 million. No payments for such expenses were made directly or indirectly to (i) any of
our officers or directors or their associates, (ii) any persons owning 10% or more of any class of our equity securities,
or (iii) any of our affiliates other than the payment of certain legal expenses on behalf of the selling stockholder.
Approximately $31.0 million of the net proceeds to us from the IPO were used to repay outstanding
borrowings under our revolving credit facility and $1.0 million were used to pay taxes related to the net share
settlement of RSUs. No payments were made directly or indirectly to (i) any of our officers or directors or their
associates, (ii) any persons owning 10% or more of any class of our equity securities, or (iii) any of our affiliates
using the net proceeds from the IPO, other than the payment of certain legal expenses on behalf of the selling
stockholder. The remaining $130.9 million in net offering proceeds have been invested into short-term and long-
term investment-grade securities and cash equivalents held for working capital purposes.
We intend to fund the Chegg Foundation, a California nonprofit public benefit corporation, to engage in
charitable and education-related activities, with one percent of the net proceeds from our IPO.
Purchases of Equity Securities by the Registrant and Affiliated Purchasers
During the year ended December 31, 2013, we did not repurchase any equity securities.
ITEM 6. SELECTED CONSOLIDATED FINANCIAL DATA
The selected consolidated financial data set forth below should be read together with Part II, Item 7,
“Management’s Discussion and Analysis of Financial Condition and Results of Operations” and our consolidated
financial statements and related notes included in Part II, Item 8, “Financial Statements and Supplementary Data” of this
Annual Report on Form 10-K. Our historical results are not necessarily indicative of our results in any future period.
Year Ended December 31,
2013 2012 2011 2010 2009
(in thousands, except per share amounts)
Consolidated Statements of Operations Data:
Net revenues ................................ $255,575 $213,334 $172,018 $148,922 $ 47,834
Net loss .................................... $ (55,850) $ (49,043) $ (37,601) $ (25,980) $(23,650)
Deemed dividend to preferred stockholders ........ (102,557) — — — —
Net loss attributable to common stockholders ....... $(158,407) $ (49,043) $ (37,601) $ (25,980) $(23,650)
Net loss per share attributable to common
stockholders, basic and diluted ............ $ (7.58) $ (4.39) $ (4.45) $ (3.74) $ (3.62)
Weighted-average shares used to compute net
loss per share attributable to common
stockholders, basic and diluted ............ 20,902 11,183 8,453 6,953 6,526
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