Korea/Asia, Events, IPOs, Douglas Research Advisory

Douglas Kim

Nearly 25 years of experience in analyzing hundreds of companies, especially in Asia. Deep expertise in the following sectors:
- Technology (E-commerce, SaaS, Internet)
- Consumer 
- Special Situations/Deep Value Plays
- Holdcos/Stubs
- Asian Unicorns/Private Companies

Korea/Asia, Events, IPOs

NCino IPO Valuation Analysis - A SaaS Company for Banks & Financial Institutions

Equity Capital Markets

Sprout Social Inc / Equity Capital Markets

<a href="https://www.smartkarma.com/entities/sprout-social-inc" target="_blank" data-smartkarma-citation="entities:28394:1" rel="noopener">Sprout Social, Inc. (SPT US)</a> is getting ready to complete an IPO in the U.S. market in the coming weeks. Founded in 2010, the company's cloud software provides a centralized platform to effectively manage their social media marketing efforts bringing together social messaging, data, and workflows. Sprout Social's software provide its customers an edge in terms of time savings, greater productivity, and more effective marketing efforts on the social media networks such as Twitter, Facebook, Instagram, Pinterest, LinkedIn, and Youtube.Sprout Social has a placeholder to raise up to $100 million in an IPO but this is subject to change. Goldman Sachs has the biggest ownership with a 36% stake in the company, followed by NEA (31%), Lightbank (21%), and the co-founder Justyn Howard (4%). Goldman Sachs and Morgan Stanley are the lead underwriters in this IPO. The company has raised more than $100 million in funding since its inception. In late 2018, Sprout raised $40.5 million, valuing the company at about <a href="https://www.chicagobusiness.com/john-pletz-technology/social-media-software-firm-sprout-social-test-turbulent-ipo-waters" target="_blank" rel="noopener">$800 million</a>.  Sprout Social generated sales of $78.8 million in 2018, up 75.9% YoY. Its sales growth slowed down this year and the company generated sales of $74.6 million in the first nine months of this year, up 31.9% YoY. The company incurred operating losses of $22 million in 2017, $20.8 million in 2018, and $21.4 million in 1Q-3Q19. Operating margins improved from -49.1% in 2017 to -26.4% in 2018.

Sprout Social, Inc. (SPT US) is getting ready to complete an IPO in the U.S. market in the coming weeks. Founded in 2010, the company's cloud software provides a centralized platform to effectively manage their social media marketing efforts bringing together social messaging, data, and workflows. Sprout Social's software provide its customers an edge in terms of time savings, greater productivity, and more effective marketing efforts on the social media networks such as Twitter, Facebook, Instagram, Pinterest, LinkedIn, and Youtube.Sprout Social has a placeholder to raise up to $100 million in an IPO but this is subject to change. Goldman Sachs has the biggest ownership with a 36% stake in the company, followed by NEA (31%), Lightbank (21%), and the co-founder Justyn Howard (4%). Goldman Sachs and Morgan Stanley are the lead underwriters in this IPO. The company has raised more than $100 million in funding since its inception. In late 2018, Sprout raised $40.5 million, valuing the company at about $800 million.  Sprout Social generated sales of $78.8 million in 2018, up 75.9% YoY. Its sales growth slowed down this year and the company generated sales of $74.6 million in the first nine months of this year, up 31.9% YoY. The company incurred operating losses of $22 million in 2017, $20.8 million in 2018, and $21.4 million in 1Q-3Q19. Operating margins improved from -49.1% in 2017 to -26.4% in 2018.

Sprout Social Inc

Sprout Social IPO Preview