Varonis Systems Inc. has filed with the US Securities and Exchange Commission (SEC) to raise up to $91 million at a company value of $405-453 million, after money on Nasdaq. The company will issue 4.8 million shares at $17-19 million, for a gross offering of $81.6-91.2 million (midpoint of $86.4 million at a $429 million). The company will be listed under the symbol VRNS.
The IPO will include an offer to sell by shareholders, provided that the underwriters exercise their over-allotment option. Evergreen Venture Partners will sell 219,564 shares for $4 million, and Varonis will issue an additional 500,436 shares under the option for an additional $9 million.
The underwriters are Morgan Stanley, Barclays Capital, Jefferies and RBC Capital Markets.
Varonis, which developed a software platform that allows enterprises to map, analyze, manage and migrate their unstructured data, was founded in late 2004 by CEO Yaki Faitelson and CTO Ohad Korkus. It is now headquartered in New York and has operations in Herzliya. It has 573 employees, of whom 209 are in the US, 234 are in Israel, and 130 are in other countries.
Varonis had $74.6 million revenue in 2013, 40% more than in 2012, but lost $7.5 million, due to heavy marketing expenses. It posted a net profit of $1.5 million for the fourth quarter. The company had $14 million in cash at the end of 2013, which may explain the need for an IPO at this time.
Published by Globes [online], Israel business news - www.globes-online.com - on February 19, 2014
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