SentinelOne aiming to raise over $1 billion at more than $8 billion valuation after hiking IPO price range
The Israeli-founded cybersecurity company now plans to sell 32 million shares priced between $31 and $32 per share when it goes public on the New York Stock Exchange
Israeli-founded cybersecurity firm SentinelOne has boosted the price range for its IPO and is now looking to raise about $1.02 billion at a valuation of about $8.11 billion, a filing with the U.S. Securities and Exchange Commission showed on Monday.
Backed by venture capital firms including Tiger Global, Sequoia Capital and Insight Venture Partners, SentinelOne now plans to sell 32 million shares of its Class A common stock priced between $31 and $32 per share.
At the top end of the price range, the company is aiming for a valuation of about $8.11 billion. It had previously expected to price its shares between $26 and $29 apiece.
SentinelOne CEO Tomer Weingarten. Photo: SentinelOne
The updated valuation is still lower than expected, with Bloomberg reporting back in February that SentinelOne was preparing for an IPO at a value of around $10 billion.
SentinelOne will list its stock on the New York Stock Exchange under the symbol "S".
SentinelOne's IPO plans come as Wall Street's record-breaking run for stock market flotations shows no sign of slowing down. With more than six months until the year ends, U.S. IPOs have already totaled $171 billion, eclipsing the 2020 record of $168 billion, according to data from Dealogic.
SentinelOne raised $267 million at a valuation of more than $3 billion last November. The round, the company’s sixth, was led by American venture capital firms Sequoia Capital and Tiger Global. SentinelOne, which develops artificial intelligence technology for identifying abnormal behavior in enterprise networks, boasts 4,000 global clients and employs around 850 people in its offices in Tel Aviv, the U.S., Europe, and Asia.
Founded in 2013, SentinelOne's business experienced a boost as most employees started working from home during the Covid-19 pandemic.
SentinelOne reported that for the fiscal year which ended January 31, 2021, the company recorded a net loss of $117.6 million on revenue of $93.1 million, after a loss of $76.6 million on revenue of $28.1 million in the year-ago period.
Morgan Stanley and Goldman Sachs & Co are lead underwriters for the offering.