Technology

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ServiceNow IPO Notes

Basics – Grade A deal, $186M size at $16 mid-point, some secondary shares (23%), market cap $1.9B, ~10x current revenues, NYSE: NOW. Interesting opening speech by the founder of the company. Notes that the most popular database is Microsoft Excel and that for most people things start with filling out a form. Points out that the…

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Intermolecular gets a new win with First Solar

Intermolecular (IMI) has had a tough time of it so far in the public markets. Their IPO got done below $12-14 range at $10 back in November 2011 and the shares have gone down steadily from there. They bottomed at $5 in March and have drifted up since then to the current $6-7. The company…

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Proofpoint (PFPT) IPO Note

Proofpoint recently priced their IPO above the $10-12 range at $13 and has held together well in the aftermarket where it’s trading at $13.77. We’re actively covering much of the information security space because it is so critical to consumer internet use, mobile computing and enterprise data and information management. We’ve just published a brief…

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Patent Torpedo Incoming for Audience (ADNC)

Audience was on track for a solid IPO. Their voice processing technology is embedded into market-leading mobile devices to enable clearer understanding of speech thanks to much more sophisticated analysis. The $14-16 filing range compares well with our $31 IV. (A link to our research note is available in the left sidebar.) But lo and…

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New Research Note – Splunk ($SPLK)

We just published a short research note on one of the more interesting technology deals scheduled to price this week. Splunk is exploiting the massive growth in machine-generated data and unstructured information by going after low level logfile data to help organizations understand what is going on in their business. So far investors have been…

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Wireless chip meltdown at Sequans

Sequans has been a sad IPO story pretty much from the start. The French 4G semiconductor firm selected an odd array of investment banks for their IPO (UBS, Jefferies, Baird, Needham, Natixis) and priced below the $11-13 range at $10 on April 15, 2011. For a short while the shares did very well and traded…

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Two Pricings and a Shellacking

The two most attractive deals in marketing, Renren and RPX, priced this week and traded up sharply but not insanely. Just before pricing a sharply negative report came out on Sky-mobi which had more than doubled from their IPO price just 5 months ago. This post deals with these three issues in more detail.  

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Cornerstone OnDemand Overpriced

This is the text portion of our research note on Cornerstone OnDemand (CSOD) which priced today at $13. Nothing wrong with the company but at this price it’s the most expensive SaaS company on the market and we don’t see the justification for that. [Toffee subscribers can download the report in PDF format under the…

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Skype Pre-IPO Preview

The preliminary prospectus still has quite a few blanks in it, but after a basic review Skype looks like a company that might be better off acquired than public.  Based on our valuation work the market clearing price should be around $4.8B. The Wrapper: Skype is the leading Internet-based communication company with 560 million registered…

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SciQuest Pre-IPO Review

We did some analysis of the upcoming SciQuest IPO. The Wrapper: SaaS solution for purchasing and procurement for higher education (63% of customers), public sector (3% of customers), life sciences (23% of customers) and healthcare organizations (11% of customers.)  $300K average selling price. 165 customers.  $40M revenues, 165 customers, 125,000 users, 78% gross margins, 18%…

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