Tech IPO boom in 2021
The pandemic year of 2020 saw most industries witness a lean year, but there were a few exceptions. The e-commerce and online tech companies that made digital existence easier have done well. U.S. companies alone raised a record $ 435 billion in share sales in 2020, of which more than a quarter came from IPO. And 2021 has been even better with 953 IPOs to date. IPOs in the United States have raised nearly $ 276 billion (including that from ad hoc acquisition companies) so far in 2021, according to Dealogic data.
Large cloud-based software companies such as Zoom, Snowflake, Asana, Airbnb, Amazon, Salesforce, and Palantir have all seen stock prices rise as homework and e-commerce continue to grow. Let’s look at the 6 biggest tech IPOs in 2021 which are in demand.
Enterprise software maker Freshworks had a strong IPO on September 22, with shares opening at $ 43.50, 21% above expectations, valuing the company at $ 12 billion. The company had pegged its initial share price at $ 36, above its expected range of $ 32 to $ 34.
Founded in India and now headquartered in San Mateo, Calif., Software-as-a-Service (SaaS) competes with Salesforce, Zoho and other smaller players in CRM, HR, marketing. and IT service management.
2. Sofa base
NoSQL database specialist Couchbase has seen its stock price jump up 39% when it debuted on July 22, valuing the company at over $ 1 billion. It now claims a market cap value of $ 23 billion.
Wise, formerly Transwise founded by two Estonians, floated on the London Stock Exchange July 7 as a direct quote – meaning no new shares were sold – starting at £ 8 ($ 11) per share before climbing 10% to £ 8.88 over the course of of its first day of trading. This put the value of the company at £ 8 billion
($ 11 billion), making it the biggest tech float ever on the LSE.
The financial technology company is best known for its international online money transfer and cross-border payment services.
Customer experience software maker Sprinklr launched a tech IPO in June with shares priced at $ 16, below its target range of $ 18 to $ 20, valuing the company at $ 4 billion.
Sprinklr is known for its social media management, advertising, and content marketing tools.
SentinelOne is an Israeli cybersecurity company, now based in California. He debuted on New York Stock Exchange at US $ 42.50 per share, which places it on the list of the best IPOs in the technology sector for 2021. The company specializes in endpoint security, implementing machine learning techniques to fight against cyber attacks as part of its Singularity Platform product.
SentinelOne raised US $ 267 million on a valuation of US $ 3.1 billion last November.
6. Black trace
Another cybersecurity firm, Darktrace, debuted on the London Stock Exchange in April. Its shares rose 43% to £ 3.58 on the first day of listing. Its key price has been set at £ 2.50 for a valuation of £ 2.4 billion.
The company was founded in 2013 by a group of mathematicians and former intelligence officers. The Cambridge-based company uses AI and machine learning to help detect cybersecurity threats. The cybersecurity company has had a good run in exchanges similar to Trustpilot and PensionBee.