Israeli cybersecurity company Cato Networks has hired underwriters for a Wall Street IPO, people familiar with the matter have told "Reuters."
Tel Aviv-based Cato Networks raised $238 million last September at a company valuation of $3 billion. The company was founded in 2015 by Gur Shatz and CEO Shlomo Kramer, one of the founders of Check Point Software Technologies Ltd. (Nasdaq: CHKP) and the founder of security company Imperva. The company has developed secure access service edge (SASE) technology, which combines enterprise communication and security capabilities into a single cloud-based platform.
"Reuters" reports that Cato has hired Goldman Sachs, JPMorgan Chase, and Barclays to lead preparations for an IPO that could take place by early 2025, possibly sooner, if stock markets rebound in 2024, the sources told "Reuters", requesting anonymity as the discussions are confidential.
Cato is looking to raise more than $500 million, one of the sources told "Reuters", adding that the company has yet to finalize the valuation it will target at the time of its IPO.
JPMorgan and Barclays declined to comment. No response was forthcoming from Cato and Goldman Sachs.
Cato has raised $773 million to date, according to PitchBook. Investors in its most recent financing round included LightSpeed Venture Partners, Adams Street Partners, SoftBank Vision Fund 2, Sixty Degree Capital and Singtel Innov8.
"Reuters' reported that in February, Cato said it posted annual revenue growth of 59% in 2023. The company has more than 2,200 enterprise customers, including Carlsberg and the TAG Heuer Porsche Formula E.
Published by Globes, Israel business news - en.globes.co.il - on March 20, 2024.
© Copyright of Globes Publisher Itonut (1983) Ltd., 2024.