The much-anticipated IPO of Rubrik, which was 20 times oversubscribed, generated some $736 million as shares exceeded the preliminary pricing vary sought by the Microsoft-backed tech agency.
The cloud and knowledge startup provided 23 million shares, all from the corporate, at $32 every, above the vary of $28 to $31 cited within the firm’s S-1 filing. This places Rubrik’s valuation at $5.61 billion. As not too long ago as 2021, it was valued greater than $4 billion after an investment from Microsoft.
Fifteen banks labored on the providing, with Goldman Sachs the lead underwriter. Shares are set to start buying and selling on the New York Inventory Trade Thursday below the ticker “RBRK.”
Rubrik is the newest tech firm to go public in 2024. Final week, shares of Ibotta, the digital advertising firm backed by Walmart, rose 17% of their first day of buying and selling, whereas social media platform Reddit gained 48% in March and chip agency Astera Labs rocketed 72% final month.
Based in 2013, Rubrik gives a platform that helps companies handle and defend their knowledge. Greater than 6,100 purchasers use Rubrik’s software program, together with Goldman Sachs, the Denver Broncos, and the legislation agency Baker & McKenzie. The startup had raised $554.3 million in funding, according to Crunchbase, with traders together with Lightspeed Ventures, Bain Capital Ventures, and Greylock Companions. Lightspeed will retain 25.4% of voting inventory whereas Greylock can have 13%, in accordance with the corporate’s regulatory submitting.
Rubrik reported $97.5 million in web losses for the three months ended Jan. 31, in contrast with about $86 million in losses for a similar time interval in 2023, whereas income soared 61% to $158.7 million.
Ibotta was profitable in 2023, reporting $38 million in web revenue. Reddit and Astera Labs have been unprofitable for practically all of 2023, with each corporations reporting constructive web revenue of their fourth quarters.
For Matt Kennedy, senior IPO strategist at Renaissance Capital, Rubrik’s IPO will probably be a giant take a look at of whether or not there’s investor urge for food for fast-growing however unprofitable corporations.
“There are dozens of unprofitable tech unicorns waiting to go public. So if this does well, I’d expect a number of those to move forward,” Kennedy advised Fortune. “There’s some excitement over finally getting that high-growth tech company. But at the same time, investors will be quick to pull their money out if they don’t see a good result.”
