(Reuters) -Software startup ServiceTitan is seeking a valuation of as much as $5.16 billion in its initial public offering in the United States, in what could be one of the final few flotations of the year that saw a revival in the market for new listings.
The Glendale, California-based company said it plans to raise up to $502 million by offering 8.8 million shares priced between $52 and $57 each.
ServiceTitan will join a handful of venture capital-backed firms, including social media platform Reddit and cybersecurity software firm Rubrik, which have all gone public this year.
VC-backed IPOs have been sparse over the past two years due to high interest rates and market volatility. A successful share sale by ServiceTitan could encourage others to push ahead with their listings.
Founded by Ara Mahdessian and Vahe Kuzoyan, ServiceTitan has become a dominant player in a niche market, making software used by businesses that are run by technicians serving the heating, ventilation and air conditioning sector.
ServiceTitan – whose rivals include software vendors Salesforce, SAP, and Jobber – was incorporated in 2007 as LinxLogic. It first launched its platform in 2012 and was renamed to ServiceTitan in 2014.
While it fetched a $9.5 billion valuation during the 2021 fundraising boom, ServiceTitan was valued at $7.60 billion after a 2022 funding round, PitchBook data showed. It has so far raised $1.46 billion from investors.
ServiceTitan had filed confidentially for an IPO in early 2022, Reuters reported last year.
Goldman Sachs, Morgan Stanley, Wells Fargo and Citigroup are leading a 14-firm underwriting syndicate.
ServiceTitan will be listed on the Nasdaq under the symbol “TTAN.”
(Reporting by Arasu Kannagi Basil and Jaiveer Shekhawat in Bengaluru; Editing by Anil D’Silva and Saumyadeb Chakrabarty)
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