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Plenty of demand seen in MuleSoft IPO

MuleSoft, which helps businesses tie software, devices and data together, is the first Bay Area company to go public in 2017. MuleSoft has expanded rapidly, posting $187.7 million in revenue last year — a 70 percent gain over the prior year — though it still recorded a net loss of $49.6 million. MuleSoft has entered the stock market at a moment when investors are expressing “healthy concern” about how companies are being valued, Smith said. Okta, a security software developer for businesses in San Francisco, filed for an IPO on Monday. In a regulatory filing with the Securities and Exchange Commission, the company said it plans to raise $100 million, though that amount could change as the IPO date draws closer. (A unicorn is a private company valued at $1 billion or more.) And MuleSoft, because it achieved unicorn status, will carry high investor expectations for growth. Prior to MuleSoft’s offering Friday, the most recent IPO by a Bay Area company came from semiconductor equipment maker Ichor Holdings in Fremont, which raised $53 million in December. AppDynamics, a San Francisco company that helps businesses monitor the performance of their applications and data centers, had been expected to be the first IPO from a regional company this year, but Cisco Systems announced plans to acquire it for $3.7 billion on the eve of its late-January planned offering.

Article by By Trisha Thadani and Dominic Fracassa (c) Business and Technology News - Read full story here.