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Freshworks, a SaaS customer interaction solutions provider, is planning an initial public offering (IPO) in the United States that could raise $912 million. Freshworks claims to have over 52,000 customers and generated $308 million in revenue last year, a 40% increase despite a $10 million net loss.
Freshworks, a SaaS customer engagement solutions provider, wants to raise funding to $912 million in its IPO (Initial Public Offering) in the United States, valuing the company at over $9 billion, according to its S-1 filing.
The California-based company, which began in India and competes with Salesforce, plans to sell 28.5 million shares at a price range of $28 to $32 per share. The company will raise $912 million if it can sell its shares at the top of the market. Freshworks had filed paperwork for its IPO in late August of this year.
Freshworks, which has investors such as Accel, Sequoia Capital India, Tiger Global, and CapitalG, develops and sells various business software tools, ranging from CRM to help-desk software. It has aggressively pursued broadening its product offering and built an enterprise SaaS platform to give customers a set of integrated business tools in recent years.
The company, which has applied to list its shares on Nasdaq under the symbol FRSH, has over 50,000 clients and sales of $169 million in the first half of the year, up from $111 million the previous year. At the same time, its net loss shrank from $57 million to $9.8 million.
Freshworks said it has over 52,000 customers and generated $308 million in revenue in the last year, an increase of over 40%, despite a net loss of $10 million in the same period.
“First, based on industry research from International Data Corporation (IDC), we believe we have a large addressable market of approximately $120 billion,” said in its S-1 filing.
According to the filing, “Second, based on our internal data and analysis, we estimate the annual potential market opportunity for our products to be $77 billion. We expect our estimated market opportunity will continue to expand as customers onboard more or expand usage of our products, increasing the weighted average ARR per customer for use of our products.”