Blue Nile Plans to Raise $75 Million In IPO

Online jewelry retailer Blue Nile is about to go public, expecting to raise as much as $75 million in an initial public offering. The company filed with the U.S. Securities and Exchange Commission today (Thursday).

The Seattle-based online store said it offers more than 30,000 certified diamonds and more than 1,000 styles of jewelry, such as rings, wedding bands, earrings, bracelets and watches.

Blue Nile said it had filed a preliminary prospectus with the SEC without disclosing details such as the number of shares and an estimated price range. Those details and others are expected in an amended offering document to be filed later with federal regulators.

The proceeds may be used for general corporate purposes, including working capital and capital expenditures, and possible investments in securities, the company said. It said it has no intention of acquiring other businesses or technologies.

According to documents filed, the company has posted growth in net sales each year since its launch in 1999. The document shows that net sales in 2003 reached $128.9 million from $44.2 million in 2000.

It said independent research firm Forrester Research estimates that the online jewelry and luxury goods market is expected to grow at an annual rate of 25 percent to $6 billion in 2008 from $2 billion in 2003.

Blue Nile has applied to list its shares on Nasdaq under the symbol "NILE".