Okta IPO: Security start-up targets $100m funding

Okta IPO: Security start-up targets $100m funding

In a show of confidence Tuesday, San Francisco-based software company MuleSoft raised the anticipated range of its offering, which is expected to price as early as Thursday. According to the S-1, Okta now has more than 2 million users.

Okta, a company that provides identity management and single sign-on (SSO) software, today filed an S-1 form kicking off the process for an initial public offering (IPO). In the nine months ended October 31, 2016, Okta lost $65 million, a slight increase from the comparable 2015 period's losses of $55 million.

Okta will be trading on the Nasdaq under the symbol OKTA, the company said.

Like most recent tech IPOs, Okta is losing money. But its revenue almost doubled between the 2015 and 2016 nine-month periods, growing from $59 million to $112 million.

"Okta's rapid growth proves the demand for accurately and securely authenticating employees as they access corporate resources", said Patrick Salyer, CEO of Gigya."The market is heading for even more expansion as organizations realize the importance of extending identity and access management to their customers - where they often need to manage millions of identities rather than just thousands".

While Snap may have been the most-watched IPO of the year so far, lots of eyes are going to be on Okta.

Identity management software company Okta and digital location management company Yext made their IPO filings late Monday.

After Snap's (SNAP) $3.4 billion blockbuster IPO on March 2, the window has been opening for several mid-cap enterprise tech companies to go public.

In its eight-year lifetime, Okta has raised $228 million from a who's who of Silicon Valley venture-capital firms, including Andreessen Horowitz, Khosla Ventures, Greylock Partners, and Sequoia Capital.

Goldman, Sachs & Co., J.P. Morgan Securities LLC and Allen & Company LLC are acting as joint book-running managers for the proposed offering.

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