Customer relationship management software firm, Freshworks has filed for an initial public offering (IPO) worth $100 million with the US Securities and Exchange Commission (SEC).
The 11-year old software-as-a-service (SaaS) startup has appointed Morgan Stanley, JP Morgan, BofA Securities, Jeffries and Barclays as book managers to the IPO, among others. The net proceeds from the IPO will be used by the company for general corporate purposes, including catering to working capital needs, operating expenses and capital expenditures.
The SaaS unicorn, which was last valued at $3.5 billion in November 2019, said that it will also be using a portion of the net proceeds for acquisitions or strategic investments in complementary businesses, products, services or technologies.
Freshworks joins the growing list of Indian unicorns which are making a beeline towards public markets. These include financial services major Paytm, insurtech player PolicyBazaar and beauty marketplace Nykaa. Merchant fintech Pine Labs is also looking to list on the US exchanges in 2022.
Freshworks has raised more than $327 million in funding till date from the likes of Accel, CapitalG, Sequoia India, and Tiger Global Management. It has more than 52,500 customers across 120 countries.
Its total revenue for the financial quarter ending June 2021 was $168.9 million against $110.5 million in the corresponding quarter of 2020. Also, the net loss recorded by Freshworks shrank to $9.8 million from $57 million a year ago, according to its filing.
Backed by Sequoia Capital and Tiger Global Management, Freshworks offers a messaging platform, an artificial intelligence-powered chatbot for customer support, and call center solutions for customer management. The company hired a chief financial officer and made acquisitions to woo new customers during the Cocid-19 phase.
