UiPath, the automation technology startup, jumped 23% in trading on Wednesday, after its initial public offering raised $1.4 billion. The company sold 23.9 million Class A shares at $56 per share, late Tuesday, according to a report by Reuters.
UiPath had announced on Tuesday that the shares would be going for $52 to $54 per share but things seem to have changed, which is not the first time it happened. Last month, UiPath’s filing with the Securities and Exchange Commission, set the price at $43 to $50.
9.4 million of the sold shares belonged to UiPath, with the remaining 14.5 million coming from existing investors.
A highly anticipated IPO
The shares started trading publicly on Wednesday on the New York Stock Exchange, with this ticker symbol: “PATH”. UiPath gained more than $13 a share to finish at $69.22. For now, this gives it a valuation of $35.8 billion.
There were worries that the IPO represented a down round with a possible lower valuation than what was implied during its last private fundraising. However, it seems to have closed that gap and then some.
The IPO was highly anticipated, given that UiPath is a market leader in robotic process automation.
An impressive enterprise
Daniel Dines, the CEO of UiPath, says that the company has saved enterprise customers hundred of thousands of person-hours that used to be spent doing monotonous and repetitive tasks.
According to the IPO, the company has over 7,000 organizations on its client list from across the globe and includes more than 60% of the Fortune Global 500. The IPO placed the valuation of UiPath at $29 billion, which is several steps below the $35 billion valuation cited in February when the company was in the final, late-stage venture capital funding round of $790 million.
By all indications, UiPath is poised to continue leading its sector.