Rubrik, a Microsoft-backed company that makes data management software, went public on Thursday and the stock quickly soared 20% . Under the ticker symbol RBRK, the unicorn company priced its initial public offering at $32 per share. The stock opened at $38.60 per share.
The 10-year-old company raised $752 million by selling 23.5 million shares in its debut on the New York Stock Exchange, valuing the company at $5.6 billion. Rubrik stock closed the day up 15.6%, at $37 per share.
Rubrik is a data security software company launched in 2014. Microsoft invested $4 billion in the company in 2021, and Rubrik has committed to spending $220 million over the next decade to use the company’s cloud service Azure.
Like Reddit, AI is part of Rubrik’s business model but not core to it. But while Reddit can make money by licensing its content to makers of AI models, Rubrik actually has its own AI product: its chatbot Ruby.
Even though Ruby isn’t central to Rubrik, the company has its own AI governance committee to mitigate risks associated with any AI tool it’s using or plans to use.
Rubrik has seen revenue climb and subscriber growth surge 47% year-over-year, but it’s still a money-losing company. The company reported a loss of $354 million in the fiscal year ended Jan. 31 — almost 30% more than the prior year.
Rubrik’s stock offering comes as tech IPOs are making a comeback. The same number of companies went public in the first quarter of 2024 as last year, but they raised about three times as much capital ($7.8 billion), according to Will Braeutigam, Deloitte’s U.S. Capital Markets Transactions Leader.
–Laura Bratton contributed to this article