Rackspace recently quietly prepared an IPO, Reuters says, based on anonymous sources. The move is apparently coming from Apollo Global Management, the venture capitalist firm that owns Rackspace.
According to the international news agency, the venture capitalists of Apollo Global Management, who are also cloud consultants for AWS and Microsoft Azure, have now launched an IPO. As a result, the value of Rackspace is estimated at $10 billion (€9.2 billion), including debt.
The time is now
The sources state that the venture capitalist firm has wanted for Rackspace to go public for some time, but was still waiting for the right moment to act. The current pandemic is accelerating the number of businesses moving to the cloud – particularly to IaaS platforms – or using more and more services from the cloud as they grow from home. Now is probably the right time to make this IPO.
Cloud services revenue grows
Reuters says the IPO for Rackspace also shows that the cloud services market is booming. According to research by Allied Market Research, the global cloud services market will have a total turnover of more than $900 billion by 2027.