Software Maker Confluent Raise $828 Million in Above-Range IPO

Data infrastructure software maker Confluent Inc. raised $828 million in its U.S. initial public offering, pricing its shares above a marketed range.

The Mountain View, California-based company sold 23 million shares for $36 each on Wednesday after marketing them for $29 to $33, according to a statement. The company is valued in the listing at about $9 billion based on the outstanding shares listed in its filings with the U.S. Securities and Exchange Commission.

Accounting for employee stock options, the company has a diluted valuation closer to $12 billion. Confluent was last valued at $4.5 billion in a funding round last year, according to a company statement.

Founded in 2014 by Jay Kreps, Jun Rao and Neha Narkede, Confluent has more than 2,500 customers, which use its platform to organize and manage data.

Confluent’s biggest shareholders include Benchmark Capital, Index Ventures and Sequoia Capital, as well as Kreps and Rao, according to its filings.

Confluent reported a net loss of $44.5 million on revenue of $77 million in the first quarter, compared with a $33.6 million loss on $51 million in revenue during the same period in 2020.

The offering is being led by Morgan Stanley, JPMorgan Chase & Co. and Goldman Sachs Group Inc. Confluent’s shares are expected to begin trading Thursday on the Nasdaq Global Select Market under the symbol CFLT.

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