The BFD: Okta files for IPO
Okta, a San Francisco-based provider of identity access management solutions, has filed for a $100 million IPO. It plans to trade on the Nasdaq under ticker symbol OKTA, and reports a $65 million net loss on $111.5 million in revenue for the nine months ending October 2016. It has raised around $230 million in VC funding.
Why it's the BFD: Ignore the headline number, since that's likely a placeholder. Instead, focus on how the long-awaited river of enterprise software IPOs is finally beginning to flow. Presidio pricing last week, MuleSoft going this week (after upping its price range) and now new filings from Okta and Yext. Okta also joins MuleSoft on the unicorn IPO train, as it was valued north of $1.1 billion during its last round of VC funding in late 2015.
Bottom line: "The IAM segment of the security market is hot, and thus Okta faces many competitors including CA Technologies, which bought IdMlogic two years ago and Ping Identity which was acquired last year by private equity firm Vista Equity Partners. And don't forget frenemies Microsoft and Google, which, partner with Okta but also offer their own multi-vendor IAM products." ― Barb Darrow, Fortune
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