SailPoint Technologies, an Austin tech company that provides identity management and security, priced its initial public offering higher than expected. And it raised more than expected, too.
SailPoint (NYSE: SAIL), which begins trading today, priced 20 million shares at $12. That’s above the $9-$11 range expected coming into its IPO. The company raised $240 million from the IPO.
The share price means SailPoint enters the New York Stock Exchange with a $1.08 billion market cap.
The IPO marks a huge exit for the Austin tech startup, which was founded in 2005 by CEO Mark McClain, Chief Strategy Officer Kevin Cunningham and Jackie Gilbert. Their identity management software gives enterprise-scale businesses a variety of solutions to detect security threats. They have 825 clients worldwide, including Virgin America, Western Union and OfficeMax.
McClain applauded SailPoint employees, customers, partners and investors, and he credited them with helping get the company to this milestone.
“While we are excited to enter this new chapter in SailPoint’s story, our focus remains on conducting business as usual, maintaining our commitment to protect our customers’ applications and data, while giving them the ability to grow and innovate, securely and confidently,” McClain said in a prepared statement.
The company reported $132.4 million in revenue last year — up from $95.3 million in 2015. It reported $75 million in revenue in the first half of this year, with a $6.6 million loss.
The company had raised $21 million in venture capital from Austin Ventures, Silverton Partners and Lightspeed Venture Partners. It then sold a majority stake to the private equity firm Thoma Bravo.