(Reuters) – Software (ETR:) Startup ServiceTitan has priced its U.S. IPO at $71 per share, it said Wednesday, in an initial public offering that could raise $624.8 million.
The IPO was above the previously indicated range of $65 to $67 and is valued at approximately $6.30 billion, according to Reuters calculations.
The U.S. IPO market, which has been impacted by high interest rates and market volatility for more than two years, has been reinvigorated by a buoyant stock market and the Federal Reserve’s rate-cutting cycle.
ServiceTitan will join a handful of venture capital-backed companies, including social media platform Reddit and cybersecurity software company Rubrik, which all went public this year.
The company is selling 8.8 million shares in the IPO and will be listed on the Nasdaq under the ticker symbol ‘TTAN’.
ServiceTitan plans to use the proceeds from the share sale to increase capitalization and financial flexibility, according to the IPO.
The company was valued at $9.5 billion after a Thoma Bravo-led funding round in 2021.
Founded by Ara Mahdessian and Vahe Kuzoyan, ServiceTitan has become a dominant player in a niche market, creating software used by more than 11,800 companies run by engineers serving the heating, ventilation and air conditioning sectors.
ServiceTitan, whose rivals include Salesforce (NYSE:), SAP and Jobber, was founded in 2007 as LinxLogic. It first launched its platform in 2012 and was rebranded as ServiceTitan in 2014.
Goldman Sachs, Morgan Stanley (NYSE:), Wells Fargo (NYSE:) and Citi Group (NYSE:) is leading a syndicate of fourteen firms for the IPO.
