Bloomberg reports that Datto, a cloud backup software company, has filed for an IPO (Initial Public Offering) with the U.S. Securities and Exchange Commission. The IPO filing was not made public by the company. Vista Equity Partners acquired Datto Inc in 2017, and now, they could be considering going public later this year or next year.
Before the acquisition, Datto had raised $100 million in venture capital before it was bought at an undisclosed price. According to the Bloomberg report, quoting people familiar with the company could be valued at more than $1 billion by the time they decide to go public.
Datto has a global presence
Datto was founded in 2007 and offers cloud-based software and tech solutions to MSPs (Managed Service Providers). The company has a unified continuity, business management solutions, and networking solutions. They describe it as a unique ecosystem of MSPs.
The company now has thousands of MSP customers who provide services to more than a million businesses, supported by 1,700+ employees with offices in China, Singapore, the U.K., the U.S., Germany, Denmark, Canada, and Australia.
They offer services like Autotask PSA, a complete IT business management platform that delivers crucial tools for MSPs.
Tip: Datto brings structure to portfolio
Some companies win, some companies don’t
2020 has seen a slowing down in the number of IPOs and exits due to the pandemic’s effects. There have been some exceptions in the market, especially when it comes to software companies. For example, ZoomInfo Technologies Inc. managed to raise $934 million in their June 4 IPO, where the share price went up 62% on their first trading day.
Some of the companies that are planning to go public later this year or in early 2020 include Rackspace Technology Inc., Palantir Technologies Inc., and Snowflake Inc.