Rubrik files to go public as tech companies see IPO market thaw | Wilnesh News

Rubrik is a data security software provider with a history of nine years. submit It went public on Monday, the latest venture capital firm to head to the public markets after a long lull since late 2021.

The Silicon Valley company started selling hardware that companies can use to back up data in a modern way relative to traditional players in the space. Rubrik then had to move to the cloud, and according to its IPO prospectus, the company now derives most of its revenue from software that “detects, analyzes and remediates data security risks and unauthorized user activity.”

Competitors include Dell, International Business Machines CorporationVeeam and Cohesity.

Rubrik plans to list on the New York Stock Exchange under the ticker symbol “RBRK.” Revenue for the year ended January rose about 5% to $627.9 million. The company’s net loss widened to $354.2 million from $277.7 million in the same period last year. In the last fiscal year, more than three-quarters of Rubrik’s revenue went toward sales and marketing expenses.

The initial public offering market has shown signs of recovery in recent weeks after a drought of more than two years.In March, social media companies Reddit and data center technology providers Astra Labs Listed for several days in a row. The emergence of both companies has heightened optimism that more companies may be lining up to test the market.

Prior to this, the last two technology IPOs backed by venture capital in the United States were Instant shopping cart and Clavijo September 2023. The deals received a tepid response on Wall Street and failed to open the window. After a record IPO year in 2021, soaring inflation and rising interest rates have forced investors out of technology and other risky assets, drying up technology investment in both public and private markets.

Rubrik is led by CEO Bipul Sinha, who has invested in the cloud management software provider Nutanix ahead of the company’s 2016 public offering. Sinha co-founded Rubrik in 2014 along with Arvind Jain, Soham Mazumdar and Arvind Nithrakashyap. Jain is now co-founder and CEO of Glean, a company that develops software to help employees find internal information from a variety of sources.

Rubrik said in its prospectus that it has paid Glean $356,000 in software fees since April 2021. Ravi Mhatre, an investor in Lightspeed Venture Partners and director of Rubrik, also serves on Glean’s board of directors. Rubrik’s supporters are Microsoft It also expressed its commitment to spending US$220 million over 10 years to develop the Microsoft Azure public cloud.

Documents show that Sinha’s former employer, Lightspeed, the company that led Rubrik’s first round of financing in 2015, is the company’s largest shareholder, with a 24% stake. Greylock Partners ranks second with a 12% stake, followed by Sinha with a 7.6% stake. Jain and Nithrakashyap own 7% and 6.7% respectively.

Like Reddit, Rubrik will host a directed stock program, offering IPO stock to certain partners, friends and family.

As of January, Rubrik had 3,100 employees and 6,100 customers. The company generated 76% of its revenue last fiscal year from three channel partners – Arrow Enterprise Computer Solutions, Exclusive Networks and Promark Technology.

—CNBC’s Ari Levy contributed to this report.