Yext Enters the Market With a Bang
April 13, 2017 by Chris LangeYext Inc. (NYSE: YEXT) entered the market with a bang on Thursday in its initial public offering (IPO). The company priced its stock at $11 per share, but actually entered the market much higher at $14.03. The company offered a total of 10.5 million shares, with an overallotment option for an additional 1.575 million. At this price, the offering is valued up to $132.83 million.
The underwriters for the offering are Morgan Stanley, JPMorgan, RBC Capital Markets, Pacific Crest Securities and Piper Jaffray.
This company is a knowledge engine. Its platform lets businesses manage their digital knowledge in the cloud and sync it to over 100 services, including Apple Maps, Bing, Cortana, Facebook, Google, Google Maps, Instagram, Siri and Yelp.
Digital knowledge is the structured information that a business wants to make publicly accessible. For example, in food service, the address, phone number or menu details of a restaurant; in health care, the health insurances accepted by a physician or the precise drop-off point of the emergency room at a hospital campus; or in finance, the ATM locations, retail bank holiday hours or insurance agent biographies.
Intelligent search, which are searches of digital knowledge that combine context and intent, has grown significantly in recent years. Yext’s solution drives commerce by providing real-time digital knowledge that allows consumers to find the businesses and service providers that are most relevant to them.
Yext described its finances in the filing as follows:
For our fiscal years ended January 31, 2015 and 2016, our revenues were $60.0 million and $89.7 million, respectively, our net loss was $17.3 million and $26.5 million, respectively, and our non-GAAP net loss1 was $14.4 million and $22.0 million, respectively. For the nine months ended October 31, 2015 and 2016, our revenues were $64.0 million and $88.6 million and our net loss was $18.2 million and $28.6 million, respectively, and our non-GAAP net loss was $15.2 million and $22.3 million, respectively.
The company intends to use the net proceeds from the offering for working capital, capital expenditures and other general corporate expenses.
Essential Tips for Investing: Sponsored
A financial advisor can help you understand the advantages and disadvantages of investment properties. Finding a qualified financial advisor doesn’t have to be hard. SmartAsset’s free tool matches you with up to three financial advisors who serve your area, and you can interview your advisor matches at no cost to decide which one is right for you. If you’re ready to find an advisor who can help you achieve your financial goals, get started now.
Investing in real estate can diversify your portfolio. But expanding your horizons may add additional costs. If you’re an investor looking to minimize expenses, consider checking out online brokerages. They often offer low investment fees, helping you maximize your profit.