Virgin Mobile USA planning $500 million IPO

Virgin Mobile USA said it plans to generate $506 million through an initial public stock offering, filing documents with the Securities and Exchange Commission that substantially increase the size of the stock offering first disclosed last month. The Kansas City Star said Virgin Mobile, in an amended filing, reported first quarter sales of $339.3 million, turning a $15.4 million profit and totaling 4.9 million customers. A month ago, the MVNO announced plans for a $100 million IPO after 2006 sales of $1.1 billion and losses of $36 million.

In its SEC filing, Virgin Mobile USA did not specify an IPO share price, the number of shares on the block or an initial sale date. Virgin said that after expenses, the IPO would net $332.6 million, of which the MVNO will pay network partner Sprint $161.2 million for a portion of its interest in the company. Sprint will net an additional $45 million in stock in exchange for loans extended to Virgin. According to the filing, Sprint will liquidate that stock as part of the IPO.

For more on the Virgin Mobile IPO:
- read this Kansas City Star article [1]

Related Articles:
Virgin Mobile USA [2] opens Content Vault
Virgin Mobile USA [3], JumpTap partner for search 
Will Amp'd spoil Virgin Mobile's IPO [4]?
Virgin Mobile TV sputters [5]; more handsets planned