Microsoft Backed Cloud & Data Security Startup Rubrik files papers for Initial Public Offering (IPO) revealing both impressive revenue growth and notable losses. Goldman Sachs, Barclays, Citigroup Inc. and Wells Fargo & Co. are leading the IPO for Rubrik as confirmed by the filing made on Monday with the US Securities and Exchange Commission.
Also Read | Ambani-Adani Collaborates First Time: Reliance Industries Acquires Stake in Adani Power Project
Listing Plans
Rubrik intends to list its shares on the New York Stock Exchange (NYSE) under the symbol RBRK. Details regarding the size and price of Rubrik’s shares will be disclosed in a subsequent filing. Reports suggest the company may seek to raise between USD 500 million to USD 700 million in its IPO.
Rubrik was acquired by Reddit Inc. last month. and Astera Labs Inc. has joined a group of companies looking to go public after successful IPOs, both of which have exceeded their fundraising targets and seen their stock prices rise for the first time.
Strong Q1 Performance
The first quarter of the year witnessed a surge in IPO activity, with US exchanges raising a total of USD 9.6 billion, marking the best quarter since 2022. In a letter to investors included in the prospectus, Rubrik’s CEO and Chairman, Bipul Sinha, emphasized the universal vulnerability to cyberattacks and the company’s steadfast commitment to cybersecurity.
Company History
Founded in 2013, Rubrik released its first product in 2016. It boasts over 6,100 customers, including notable names such as Goldman Sachs, Barclays, Citigroup, Home Depot Inc., PepsiCo Inc., and the Denver Broncos.
Revenue Growth & Financials
Rubrik reported a significant 47% increase in subscription annual recurring revenue as of Jan. 31 compared to the previous year. However, the company also disclosed a net loss of USD 354 million on revenue of USD 628 million for the year ended Jan. 31, indicating continued investment in growth.
Also Read | Facebook News Tab to Be Discontinued as Meta Shifts Focus Away from News and Politics
Microsoft Partnership
Rubrik’s strategic alliance with Microsoft includes an equity investment made by the tech giant in 2021. The partnership aims to leverage Microsoft Azure, with Rubrik committing to spend USD 220 million over 10 years on the platform. Current major shareholders of Rubrik include Lightspeed affiliates (24% of Class B shares) and Greylock (12% of Class B shares).