UiPath expects to go public in the first half of 2021

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UiPath is a rapidly growing robotic process automation (RPA) company that is eyeing Wall Street. The company filed confidential paperwork for an IPO that will likely come to fruition in the first half of next year. Bloomberg broke the story and even though an official price has not been set, the publication speculates that the company has a value of over $20 billion.

The company is working with banks like Bank of America, JP Morgan Chase & Co., Credit Suisse Group AG and Morgan Stanley.

UiPath is led by the CEO and co-founder Daniel Dines. The company is one of the most acclaimed startups in the RPA market.

The applications and implications

The RPA market is all about the use of software robots to observe workflows in business applications and then come up with methods to automate the repetitive parts of the workflow. The software robots monitor the keystrokes, as users interact with apps like in resource planning and customer relationships to identify the repetitive patterns.

The software then suggest how they can be automated. Eliminating a few keystrokes may seem like a small change but it compounds into massive savings, reduction in errors and enhanced speed.

Imagine applying this to hundreds of thousands of users over a long time and the numbers become astronomical.

The RPA leader

UiPath’s most recent valuation was about $10 billion, after a $225-million late-stage funding round in July. With that amount, the company’s total raised amount surpassed $1 billion. The company has more than $400 million in annual recurring revenue, according to several reports.

During the July funding round, Vijay Khanna, the Chief Corporate Development Officer, said that the company wanted to become cash-flow positive by the end of this year.

UiPath knows it has to do more to retain its position as a leader in RPA, hence the impending IPO.

Tip: Robotic Process Automation (RPA) is booming, what can you do with it?