Storage startup Box in talks to raise funding from TPG -WSJ

SAN FRANCISCO, June 20 Fri Jun 20, 2014 5:17pm EDT

SAN FRANCISCO, June 20 (Reuters) - Box Inc, the online storage startup that filed to go public several months ago, is in discussions to secure a round of financing from private equity firm TPG, the Wall Street Journal cited people familiar with the talks as saying.

Box, which had delayed its IPO plans as stocks in cloud-based companies tanked in recent months, initiated the discussions in recent weeks, the newspaper cited one of the people as saying.

The company was not immediately available for comment.

Box, which in its IPO prospectus warned it did not expect to be profitable for the foreseeable future, has grown rapidly by spending heavily to secure clients. It was one of a coterie of companies that rode a migration toward Internet-based storage and services, and at one point was one of the most-anticipated debuts of 2014.

However, shares of fellow companies that market Internet-based services began heading downward around the time its prospectus was filed, as Wall Street investors reassessed lofty valuations.

Box's backers include Draper Fisher Jurvetson, Andreessen Horowitz and General Atlantic. (Reporting by San Francisco newsroom; Editing by Bernard Orr)

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