US-based data management software producer Snowflake filed yesterday to raise up to $100m in an initial public offering that could provide exits for enterprise software provider Salesforce and financial services firm Capital One.
The $100m figure is a placeholder amount, with the final figure set to be considerably higher. Snowflake has raised more than $1.3bn in funding and was valued at $12.4bn as of a $479m series G round in February this year.
Snowflake provides cloud software that enables organisations to manage and unify large quantities of information from data silos in order to gain valuable insights. It has more than 1,100 customers, 56 of which are worth more than $1m of business a year.
The company more than doubled revenue year on year to $242m for the six months ending in July 2020, though its net loss fell only slightly to $171m over the same period.
Salesforce unit Salesforce Ventures co-led the series G round with investment firm Dragoneer, participating alongside Redpoint Ventures, Sequoia Capital, Altimeter Capital, Iconiq Capital, Madrona Venture Group and Sutter Hill Ventures.
Capital One Growth Ventures, a subsidiary of Capital One, invested $5m in Snowflake in 2017 as part of a $105m series D round that included Iconiq Capital, Madrona Venture Group and existing backers Altimeter Capital, Redpoint Ventures, Sutter Hill Ventures and Wing Ventures.
Iconiq Capital, Altimeter Capital and Sequoia Capital co-led a $263m series E round in January 2018 that also featured Capital One Growth Ventures, Madrona Venture Group, Redpoint Ventures, Sutter Hill Ventures and Wing Ventures at a $1.5bn pre-money valuation.
The company added $450m nine months later, in a series F round led by Sequoia Capital that also featured the rest of the series E investors in addition to Meritech Capital, valuing it at $3.95bn post-money.
Neither corporate is among the shareholders that own 5% of more of Snowflake. Its largest investors are Sutter Hill Ventures (20.3%), Altimeter (14.8%), Iconiq Capital (13.8%), Redpoint Ventures (9%) and Sequoia (8.4%).
Goldman Sachs, Morgan Stanley, JP Morgan, Allen & Company and Citigroup are lead book-running managers for the offering, which is slated to take place on the New York Stock Exchange.
Credit Suisse, Barclays, Deutsche Bank Securities, Mizuho Securities and Truist Securities are book-running managers for the IPO while BTIG, Canaccord Genuity, Capital One Securities, Cowen, DA Davidson, JMP Securities, Oppenheimer, Piper Sandler, Stifel, Academy Securities, Loop Capital Markets, Ramirez & Co and Siebert Williams Shank are co-managers.
