The final IPO that TechCrunch is tracking in 2021 had a solid run-up to its first day’s trading. Samsara, an IoT platform company, priced its public offering last night at $23 per share, the top end of its range.
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In selling 35 million shares, the company had gross initial proceeds of $805 million from its IPO. That number could scale by 5.25 million shares, or $120.75 million in gross value, if the company’s underwriting banks purchase shares that they have the option to.
Ahead of Samsara’s public trading this morning, we’re taking a brief look at its final IPO valuation and final revenue multiples, then chatting about the recent downturn in SaaS prices and what could be on the horizon.
There are two valuations that we care about regarding Samsara’s IPO. We want its simple, or non-diluted, valuation. And we want its fully diluted valuation. The latter number will include more total shares, adding equity that has been vested through options and the like, but not yet exercised.
Per our prior calculations, here’s where the numbers sit for the now-public entity:
Our math also indicated that Samsara is worth around 27x its most recent run rate at the latter valuation. That’s a multiple that many companies would have killed for in the past, but compared to recent norms it feels a bit, well, small?
The Exchange explores startups, markets and money.
Read it every morning on TechCrunch+ or get The Exchange newsletter every Saturday.
In selling 35 million shares, the company had gross initial proceeds of $805 million from its IPO. That number could scale by 5.25 million shares, or $120.75 million in gross value, if the company’s underwriting banks purchase shares that they have the option to.
Ahead of Samsara’s public trading this morning, we’re taking a brief look at its final IPO valuation and final revenue multiples, then chatting about the recent downturn in SaaS prices and what could be on the horizon.What’s Samsara worth at $23 per share?
There are two valuations that we care about regarding Samsara’s IPO. We want its simple, or non-diluted, valuation. And we want its fully diluted valuation. The latter number will include more total shares, adding equity that has been vested through options and the like, but not yet exercised.
Per our prior calculations, here’s where the numbers sit for the now-public entity:
- Samsara simple IPO valuation $23 per share: $11.6 billion
- Samsara fully diluted IPO valuation at $23 per share: $12.4 billion
Our math also indicated that Samsara is worth around 27x its most recent run rate at the latter valuation. That’s a multiple that many companies would have killed for in the past, but compared to recent norms it feels a bit, well, small?