Exits – Online recruitment is StepStone to profit

Online recruitment solutions provider StepStone floated on the London and Oslo stock markets at the beginning of March with an initial capitalisation of GBP514 million ($804 million). Because of the intensity of investor demand, the upper end of the pricing range was boosted by some 28 percent, but the offer was still more than 20 times oversubscribed.

Last summer, Geocapital Partners led a $22 million funding round for the company – then called Jobshop – bringing in Investor AB and Index Ventures. At the time, the deal was one of the largest venture fundings ever seen in the European Internet sector.

Headquartered in Norway, with operations in Sweden, Denmark, Germany, the UK, France, Belgium and Italy, StepStone will use the GBP121 million new capital raised on flotation to bolster further expansion in Europe. The firm aims to secure market leadership in online recruitment in Europe. Currently, StepStone has around 1.7 million job seeker profiles and a client base of more than 10,000 companies. The firm has yet to turn a profit, making losses of GBP15 million and turnover of GBP7 million in 1999.