CrowdStrike IPO: What To Know About The Cybersecurity Unicorn's Debut

Looking for a "secure" investment? Check out for the initial public offering of cybersecurity firm CrowdStrike, which is scheduled to go public this week.

The IPO Terms

CrowdStrike Holdings, Inc. is set to offer 18 million shares of its Class A shares at an estimated price range of $28-$30 each, according to an amended S-1/A filing.

The offer price was upped from the initially estimated price range of $19-$23, disclosed in a May 29 amendment to the S-1 filing.

At the midpoint of the new price range, the IPO is valued at $522 million.

The shares have been approved for listing on the Nasdaq under the ticker symbol CRWD.

Since CrowdStrike qualifies as an emerging growth company under federal securities laws, it can claim exemption from some of the reporting requirements for a public company.

Goldman Sachs, JPMorgan, Bank of America Merrill Lynch and Barclays are the lead underwriters for the offering.

The Company

Founded in 2011, CrowdStrike was established with the mission of "reinventing security for the cloud era" to take advantage of the opportunity presented by numerous cyberattacks.

The company said it uses a fundamentally new approach that uses the network effects of crowdsourced data applied to modern technologies such as artificial intelligence, cloud computing and graphic databases.

As of Jan. 31, CrowdStrike reported 2,516 customers worldwide, including 44 in the Fortune 100 and 37 of the top 100 global companies, as well as nine of the top 20 major banks.

The company's dollar-based net retention rate was 14.7 percent as of Jan. 31.

The Finances

CrowdStrike's total revenue more than doubled year-over-year to $249.8 million in fiscal 2019, with subscription revenues climbing 137 percent to $219.4 million.

Annual recurring revenue jumped 121 percent to $312.7 million. The net loss widened from $135.5 million in fiscal 2018 to $140.1 million as it invests in business and sales capabilities.

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