OneStream Software, a company supported by private equity firm KKR, is preparing for a significant move in the stock market. The company aims for a valuation of approximately $4.38 billion in its upcoming U.S. initial public offering (IPO).
According to a filing on Monday, OneStream Software and its selling shareholders plan to sell 24.5 million shares. The shares are expected to be priced between $17 and $19 each, potentially raising up to $465.5 million. In 2024, the U.S. IPO market has shown encouraging signs of growth. There has been an increase in listings as investors become more optimistic about new offerings. This optimism is partly driven by hopes for a soft landing for the economy.
OneStream’s target valuation for this public float is notably lower than the $6 billion valuation it received in 2021. During that time, OneStream raised funds from investors including D1 Capital Partners and Tiger Global Management.
Founded in 2010, OneStream Software specializes in helping Chief Financial Officers (CFOs) prepare and report financial statements to regulators and investors. The company’s services extend to assisting organizations with planning, budgeting, and forecasting.
OneStream boasts a robust customer base with over 1,400 clients worldwide. Some of their notable customers include Toyota Motor, UPS, News Corp, and General Dynamics. KKR acquired a majority stake in OneStream in 2019, valuing the company at over $1 billion at the time.
OneStream will list its shares on Nasdaq under the ticker symbol “OS.” The funds raised from the IPO are intended to increase the company’s capitalization and financial flexibility.
The lead underwriters for OneStream’s IPO are Morgan Stanley, J.P. Morgan, and KKR.
OneStream’s IPO at a Glance
| Details | Information |
|---|---|
| Target Valuation | $4.38 billion |
| Shares for Sale | 24.5 million |
| Price Range per Share | $17 – $19 |
| Potential Funds Raised | Up to $465.5 million |
| Ticker Symbol | OS |
| Lead Underwriters | Morgan Stanley, J.P. Morgan, KKR |
OneStream’s upcoming IPO is a significant milestone for the company, reflecting its growth and potential in the financial software industry. The move to go public and the strategic support from KKR signal a promising future for OneStream Software as it aims to expand its market presence and capabilities.
Featured Image courtesy of Pensions & Investments