US-based banking software producer nCino filed on Monday to raise up to $100m in an initial public offering that will give enterprise software provider Salesforce the chance to exit.
Founded in 2012, nCino provides its cloud-based banking software to more than 1,100 banks, credit unions and other financial institutions on a subscription basis, and it claims more than 160 of its customers pay upwards of $100,000 a year, with 21 paying more than $1m for a year.
The company expanded revenue about 50% year on year to $44.7m for the three months ending April 2020, while its net loss increased only slightly to $4.8m over the same period.
The offering will follow at least $218m in funding, nCino most recently securing $80m in an October 2019 round led by funds and accounts advised by investment manager T. Rowe Price and backed by Salesforce’s corporate venture capital unit, Salesforce Ventures.
Salesforce Ventures had led a $51.5m round for nCino in early 2018 that included an unnamed existing investor, following $17.8m from undisclosed investors the year before.
The IPO filing states that Salesforce provided a total of $72m in equity funding across those three rounds along with $9m in a secondary investment. Wellington Management, Bessemer Venture Partners and Insight Partners all bought secondary shares in mid-2018.
Undisclosed investors had supplied $16.7m for the company in 2016, after Salesforce Ventures added an undisclosed sum to the $29m in series B funding provided by Insight Partners, Wellington Management, John Mack and Gene Ludwig the previous year.
Insight Partners owns 46.6% of nCino’s shares, with Salesforce holding a 13.3% stake and Wellington Management 9.5%.
BofA Securities and Barclays are lead book-running managers for the IPO, which will take place on the Nasdaq Global Select Market. KeyBanc Capital Markets, SunTrust Robinson Humphrey, Piper Sandler, Raymond James and Macquarie Capital are book-running managers.
