Starbucks CEO Schultz Joins Groupon Board

NEW YORK (AP) - Online coupon company Groupon said it elected Howard Schultz, the CEO of Starbucks Coffee Co., to its board amid media reports that it is preparing for an initial public offering in the spring.

The Chicago company also said Maveron LLC, a Seattle-based venture capital firm co-founded by Schultz, had invested an undisclosed amount in Groupon alongside the appointment.

Private companies typically add outsiders to their boards before going public. Schultz has also served on the boards of online auction site eBay Inc. and drugstore.com, according to Maveron's website. He currently serves on the board of yogurt chain Pinkberry.

Schultz helped build Starbucks, left for a while and returned to lead the coffee chain as it struggled during the downturn. He closed stores, laid off workers and launched an instant coffee line and a digital network as he guided the Seattle-based company back to growth.

Schultz's investment follows a $950 million investment from private investors in January, which Groupon planned to use to fund its expansion.

Professional social networking site LinkedIn Corp. last month said it planned to raise at least $175 million in an IPO, helping pave the way for the long-awaited IPOs of other websites that help people connect with each other.

Reports of a Groupon IPO come after the company rejected a $6 billion takeover offer from Google Inc. last year.

The company, founded by Andrew Mason in Chicago in November 2008, emails people coupons targeted to their location for restaurants, services such as yoga classes and other activities. A specific number of people must buy the coupon in order to activate it. Groupon says it delivers about 650 deals every day in more than 500 markets around the world.