(Reuters) – Rubrik shares rose nearly 21% in its New York Stock Exchange listing on Thursday, valuing the Microsoft-backed cybersecurity company at $6.77 billion.
The startup joins a growing list of companies with strong recent debuts as initial public offerings (IPOs) pick up on hopes for a soft economic landing without a recession or large-scale job losses and lower inflation.
The rapid adoption of cloud applications for storing and transmitting data has made businesses vulnerable to malicious attacks over the Internet, making them more attractive to cybersecurity companies.
Based in Palo Alto, California, Rubrik provides data security solutions to more than 6,100 customers, including consumer electronics manufacturer Whirlpool, snack and beverage giant PepsiCo, and investment bank Goldman Sachs.
Rubrik, originally named ScaleData, competes with data management and protection vendors such as Cohesity, Commvault, Veeam, IBM, and Dell EMC.
The company's stock opened at $38.6, above the public offering price of $32, and last traded at $37. Rubrik raised $752 million in its IPO.
This strong debut comes against a backdrop of overall stock market weakness. The Russell 2000 index, which tracks the performance of small-cap U.S. stocks, has fallen nearly 7% so far this month.
Although Rubrik was founded in late 2013, it did not begin offering products and services until the fiscal year ended January 31, 2016. He is led by Co-Founder and CEO Bipul Sinha. Bipul Sinha is also a venture partner at Lightspeed, a Silicon Valley technology investment firm. Venture Partners.
Microsoft made an equity investment in Rubrik in a 2021 funding round, valuing the startup at $4 billion. Venture capital firms Greylock Partners and Lightspeed are also backing the company.
The IPO was underwritten by a syndicate of more than a dozen banks, including Goldman Sachs, Barclays, Citigroup and Wells Fargo Securities.
