In a filing with regulators this morning, HubSpot set expectations for its long-anticipated IPO. The Cambridge, Mass., marketing SaaS company expects its IPO to price between $19 and $21 a share and trade on the NYSE under the ticker, “HUBS.”
If its IPO prices at the midpoint, HubSpot will raise $100 million at a fully diluted market value of $687 million, Renaissance Capital reports. That’s a more than 6X factor over the $100.5 million the company raised in venture capital and growth equity.
The big winners would be General Catalyst Partners of Cambridge. The 27 percent of the company’s shares they owned prior to the offering would be worth $137 million. The next largest shareholder is Matrix Partners, also of Cambridge. Their 17 percent would be worth about $87 million. Co-founders Dharmesh Shah and Brian Halligan hold 4.9 percent and 8.8 percent, respectively. Halligan’s shares would be worth $25 million; Shah’s worth $45 million.
The IPO may come quickly: HubSpot’s cash position isn’t exactly strong, at $7.3 million in their original S-1 filing–as of June 30. That came in on Aug. 25, by the way–here’s our coverage. On the other hand, they wouldn’t be the first company by far to raise large amounts of cash in the weeks leading up to IPO–a category that’s become a hot commodity among institutional investors.
With 30.4 million shares outstanding, a mid-range price would give the software company an initial market cap of $607 million.