December 1, 2015 at 12:40Test publicity: Atlassian will hold one of the most successful IPOs this year
Despite the difficult situation around technology companies in the IPO market, the largest private firms are still making public offerings. The developer of the legendary task manager JIRA, Australian IT company Atlassian hopes that public investors will be supportive of it. The company plans to go public IPO by the end of the year.
Atlassian set the price per share in the range from $ 16.50 to $ 18.50. The upper limit of the company's value is estimated at $ 3.8 billion. Last year, the company's valuation in the private market was $ 3.3 billion. With such indicators, Atlassian IPO may be one of the most successful - when compared with the results of the placement of other technology companies this year.
Indeed, one of the main prerequisites for the failure of the IPO is a sharp decrease in the company's rating before public offering. This happened , for example, with the payment service Square .
Shares of Square at the finish line before the IPO, experts estimated at $ 11– $ 13. The company's capitalization fell to $ 4.2 billion. Megamind wrote that Square was valued at $ 6 billion in October.
At the IPO, Square received a valuation of $ 2.9 billion. This is more than half the October estimate. The price per share fell below the minimum mark of $ 11 and amounted to $ 9.
Unlike many tech startups that suffer losses, Atlassian continues to increase profits. Moreover, the company has remained profitable for as long as 10 years. Separately, it is worth noting that the company developed independently, without third-party investments. The participation of funds such as Accel Partners , T. Rowe Price Group and Dragoneer Investment Capital , was limited to the purchase of small shares. Atlassian has been growing exclusively for word of mouth for 13 years and does not have sales managers on staff.
If the company sells shares at $ 18.50, it will be able to gain about $ 370 million at the IPO. But the price corridor may change the day before the placement, recallsBusiness Insider. Everything will depend on how much public investors are interested in the company. In the event of a successful IPO, in the hands of the founders (Scott Farquhar and Mike Cannon-Brookes) Atlassian will be almost the whole considerable amount of proceeds from the placement. Indeed, besides them, the company has practically no co-owners.
In addition to the tempting IPO prospects, Atlassian already has a very strong trump card in its hands. The company achieved commercial success due to the sky-high demand for its products and services in Silicon Valley. After all, it is she who is one of the world centers for the development of the IT industry in general and software development in particular.
However, the competition remains quite fierce, and the Atlassian flag still does not rise on all fortresses. JIRA is holding on tightly. But launched in 2010 and purchased in March 2012 by Atlassian, the HipChat corporate messenger lost to rival Slack in many markets .
Founder and CEO of Slack Stewart Butterfield in an interview with The Australian Business Review stated that the company has developed a program of "preparation for IPO». The essence of the program is to be fully prepared when the time comes X and Slack deems it necessary to apply for a public offering.
He also noted that Slack could reach an IPO no earlier than after 18 months. And this is provided that all the stars converge as necessary.
Atlassian set the price per share in the range from $ 16.50 to $ 18.50. The upper limit of the company's value is estimated at $ 3.8 billion. Last year, the company's valuation in the private market was $ 3.3 billion. With such indicators, Atlassian IPO may be one of the most successful - when compared with the results of the placement of other technology companies this year.
Indeed, one of the main prerequisites for the failure of the IPO is a sharp decrease in the company's rating before public offering. This happened , for example, with the payment service Square .
Shares of Square at the finish line before the IPO, experts estimated at $ 11– $ 13. The company's capitalization fell to $ 4.2 billion. Megamind wrote that Square was valued at $ 6 billion in October.
At the IPO, Square received a valuation of $ 2.9 billion. This is more than half the October estimate. The price per share fell below the minimum mark of $ 11 and amounted to $ 9.
Unlike many tech startups that suffer losses, Atlassian continues to increase profits. Moreover, the company has remained profitable for as long as 10 years. Separately, it is worth noting that the company developed independently, without third-party investments. The participation of funds such as Accel Partners , T. Rowe Price Group and Dragoneer Investment Capital , was limited to the purchase of small shares. Atlassian has been growing exclusively for word of mouth for 13 years and does not have sales managers on staff.
If the company sells shares at $ 18.50, it will be able to gain about $ 370 million at the IPO. But the price corridor may change the day before the placement, recallsBusiness Insider. Everything will depend on how much public investors are interested in the company. In the event of a successful IPO, in the hands of the founders (Scott Farquhar and Mike Cannon-Brookes) Atlassian will be almost the whole considerable amount of proceeds from the placement. Indeed, besides them, the company has practically no co-owners.
In addition to the tempting IPO prospects, Atlassian already has a very strong trump card in its hands. The company achieved commercial success due to the sky-high demand for its products and services in Silicon Valley. After all, it is she who is one of the world centers for the development of the IT industry in general and software development in particular.
However, the competition remains quite fierce, and the Atlassian flag still does not rise on all fortresses. JIRA is holding on tightly. But launched in 2010 and purchased in March 2012 by Atlassian, the HipChat corporate messenger lost to rival Slack in many markets .
Founder and CEO of Slack Stewart Butterfield in an interview with The Australian Business Review stated that the company has developed a program of "preparation for IPO». The essence of the program is to be fully prepared when the time comes X and Slack deems it necessary to apply for a public offering.
He also noted that Slack could reach an IPO no earlier than after 18 months. And this is provided that all the stars converge as necessary.