Rubrik, a Microsoft-backed data management software company, is going public on the New York Stock Exchange on Thursday. Under the ticker symbol RBRK, the unicorn company is expecting to price the offering at $28 to $31 per share.
The 10-year-old company raised $752 million by selling 23.5 million shares ahead of its debut on the New York Stock Exchange, valuing the company at $5.6 billion.
The Palo Alto, Calif.-based Rubrik launched in 2014. Microsoft invested $4 billion in the company in 2021, and Rubrik has committed to spend $220 million over the next decade to use the company’s cloud service Azure.
As is the case with Reddit, which held its IPO in March, AI is part of Rubrik’s business model but not core to it. But while Reddit can make money from AI by licensing its content to makers of large language models, Rubrik actually has an AI product: its chatbot, Ruby.
Rubrik has its own AI governance committee to mitigate risks associated with any AI tool it’s using or plans to use. TechCrunch reporter Anna Heim recently wrote that Rubrik’s governance committee is an example of how companies and investors are beginning to take precautions with the technology as it comes under increasing regulatory scrutiny.
Rubrik has seen revenue climb and subscriber growth surge 47% year-over-year, but it’s still losing money. The company reported a loss of $354 million in the fiscal year ended Jan. 31, nearly 30% more than the prior year.
While Rubrik’s filing shows plans to raise up to $100 million, the company hasn’t priced its IPO yet, and pre-IPO investment research platform Renaissance Capital says the deal could actually raise up to $500 million. Such a sum would signal that investors aren’t afraid of money-losing companies as the IPO market comes back to life.
–Laura Bratton contributed to this article