The big-data startup Cloudera plans to raise $200 million in an initial public offering.
It released forms in its public S-1 filing on Friday that show:
- Revenue of $261 million in its fiscal 2017, up from $166 million in 2016. Gross profit (before research and development, sales and marketing, and general and administrative expenses) of $174 million in 2017, up from nearly $91 million in 2016. Net loss of $187 million in 2017, narrowed from $203 million in 2016. Sales and marketing expenses also increased from $161 million in 2016 to $203 million in 2017.
Cloudera, founded in 2008, was an early startup in the big-data field. It offers software and services that let businesses store massive amounts of data on inexpensive hardware via Hadoop, a type of software invented by Google and pioneered by Yahoo.
Hadoop is great for storing stuff cheaply, but it was hard for the average company to use once it put all that stuff in there. Cloudera was one of a handful of companies that made it easier for an average business to use.
As such, it attracted attention and a boatload of angel and venture-capital cash, including angel backing by Diane Greene, the cofounder of VMware who is now running Google’s cloud business, and Caterina Fake, the cofounder of Flickr and chairwoman of Etsy. Greene and Fake are scheduled to cash out their shares in this IPO, according to PitchBook, a database that tracks such things.
People have been talking about Cloudera’s potential IPO since 2013, but it chose to stay private longer. The company was an early “unicorn,” a startup with a valuation of over $1 billion, and it stood by while one of its main competitors, Hortonworks, a Hadoop spin-off from Yahoo, went public in 2014.
Hortonworks had a successful IPO in December 2014, but its stock price has struggled big time since then, down from about $26 to under $10. In contrast, Cloudera had raised over $1 billion at a valuation of over $4 billion – a record-breaking amount for an enterprise startup at the time – and had investors like Accel, Greylock Fidelity, Intel, and T. Rowe Price.
By early 2016, when the valuations of unicorn startups were under siege, Fidelity marked down the valuation of much of the startup stock it owned, including Cloudera’s.
While the shares aren’t priced yet, Cloudera’s IPO is expected to give the company a valuation of about $4 billion, the same as its last private round, with 33 investors cashing out at least some of their stakes, according to PitchBook.
But so far, 2017 looks like it will be good for highly valued enterprise IPOs – those of tech startups that sell their tech to businesses – so investors may gobble up Cloudera as well. MuleSoft had a good IPO earlier this month. Okta is nearing the gates with its IPO, too. And now Cloudera is waiting in the wings.