KKR-backed OneStream shareholders seek $466M in US IPO

KKR-backed OneStream shareholders seek $466M in US IPO is profiled by BTW Media because published evidence links it to internet infrastructure, governance, operational dependencies, or market visibility.

• OneStream, in partnership with shareholders including KKR, is seeking to raise $465.5 million through a US initial public offering (IPO).
• Priced between $17 and $19 per share, OneStream’s IPO reflects an ambitious valuation amid a reviving US IPO market.

OUR TAKE
OneStream Corporation is launching an initial public offering to raise $465.5 million at a valuation that could reach approximately $4.4 billion. The offering includes 24.5 million shares priced between $17 and $19. The move is significant not only because of OneStream’s significant financial turnaround, which has reduced significant losses while increasing revenues, but also because it reflects a broader market recovery. The IPO, led by leading institutions including Morgan Stanley and JPMorgan, is expected to be listed on the Nasdaq under the symbol OS.
Heidi Luo, BTW reporter

What happened

OneStream, a cloud-based software provider specialising in financial planning and operational analytics, has announced an initial public offering (IPO) to raise $465.5 million. The company plans to offer 24.5 million shares at a price range of $17 to $19 per share.

OneStream is responsible for marketing 18.1 million of these shares, while the remaining 6.4 million will be offered by existing shareholders. The IPO valuation could rise to around $4.4 billion if the shares reach the upper end of the price range, according to details in the Securities and Exchange Commission (SEC) filing.

Financially, OneStream has shown commendable improvement over the past year, with net losses reduced to $29 million from a previous $65 million, while revenues jumped to $375 million from $279 million in 2022.

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Why it’s important

The listing comes as US IPOs continue to rebound after a relatively quiet couple of years. IPOs on US exchanges raised more than $21 billion in the first six months of the year, up nearly 70% from the same period a year earlier, according to data compiled by Bloomberg.

OneStream’s performance, with a sharp reduction in net losses and significant revenue growth, highlights its potential to become a major player in the industry. In addition, the involvement of high-profile investors such as T. Rowe Price, who have indicated an interest in purchasing up to 15% of the base offering at the IPO price, the filing shows.

In addition to KKR, OneStream has attracted significant investment from the likes of Robert Powers, its CTO, and firms such as Tidemark and Alkeon Capital Management. The company, which is valued at $6 billion in 2021, is known for its financial management software used by CFOs and finance teams.

The IPO, led by Morgan Stanley, JPMorgan and KKR, along with Bank of America and Citigroup, is expected to list on the Nasdaq under the symbol OS.