Rubrik, a technology IPO company, will seek up to $713 million when it goes public via the NYSE under the ticker RBRK later this month, according to its latest SEC filings.
Rubrik is among the big tech companies, along with Astera Labs and Reddit, that many investors had hoped would IPO this year, ending a two-year slump in public offerings. Additionally, Rubrik is a traditional SaaS company and co-founder of EquityZen, a secondary marketplace for companies in the private markets, said Rubrik will serve as a better comparison to other technology companies evaluating whether to go public in 2024. Phil Haslett, CEO and Chief Strategy Officer, explained:
Rubrik has positive financial metrics with $784 million in sales and a 40% increase in cash flow, so an unsuccessful IPO could have a chilling effect, Haslett noted. .
“If this IPO had happened four or five years ago, people would have been talking about how big a company Rubrik was from a revenue standpoint and from a success story standpoint,” added Haslett, noting that public I asked whether the standards had changed significantly. “Because if that's the case, we need to consider who really qualifies to be a public company, or who can be a public company.”
According to Rubrik's revised S-1, the company plans to offer 23 million shares out of a total of 175,433,785 shares at prices between $28 and $31. Using the median price of $29.50, this offering would generate $632.6 million, while the higher price would generate $713 million, for an implied valuation of over $5.4 billion. It will be.
Such an amount would be at least $1.4 billion higher than Rubik's valuation after a 2021 funding round led by Microsoft. Rubrik was founded in 2011 with a focus on cloud-based data protection and subsequently partnered with Microsoft to build cybersecurity protection for its cloud service Azure.
The top underwriter for Rubrik's IPO is Goldman Sachs, followed by Barclays, Citigroup, Wells Fargo and 11 other institutions. The listing is scheduled for April 25, just one week after Ibotta, another tech company whose IPO has garnered investor attention, is scheduled to list on the Nasdaq.
Given Rubrik stock's movement in the secondary market, that price range appears to be comparable to the price range seen for EquityZen leading up to its IPO, Haslett added. Haslett expects retail investors to pay less attention to the offering than those of big-name companies like Reddit, but once trading begins, interest from institutional investors could drive the stock price higher. Mr. Haslett still believes that there is a gender.
“If everyone was hitting the buy button, things would go up at a faster rate, like on Reddit, but the opposite could also be true,” he added. “Retail awareness will help in his first six months. I think the more time goes on, the less important it will be.”
