The Pulse by Augment
Posts
Reddit, Astera Labs, now Rubrik - Are we back?

Reddit, Astera Labs, now Rubrik - Are we back?

Adam Valenta
April 04, 2024

Good Afternoon!

Rubrik's impending IPO, Tiger's fund falling short of its target, Alphabet considering an offer for HubSpot, and Ripple's bold move into stablecoin territory. Adding to the mix, Y Combinator's recent Demo Day highlights intriguing bets spanning healthcare, chip design, and AI.

TL;DR

Rubrik plans IPO
Tiger's 16th fund closes at $2.2B, below $6B target
Alphabet mulls offer for HubSpot
Ripple to debut US dollar stablecoin, challenging Tether, Circle

Rubrik Steps Toward IPO

Rubrik, Inc. files a registration statement for its proposed IPO of Class A common stock with the SEC. While the share count and price range aren't set yet, big names like Goldman Sachs, Barclays, and Citigroup are onboard to manage the offering.

Rubrik Private Markets Price Chart

Here is a quick back story and key points for Rubrik’s upcoming IPO.

Rubrik emerged in 2015, offering a unified hardware and software solution for data backup.
Ransomware's surge bolstered Rubrik's growth, securing major clients like Fox and Facebook.
Revenue soared to $100M by 2016, driven by the company's unique approach.
In 2019, Rubrik shifted to subscription-based pricing and introduced a cloud version, targeting cybersecurity and compliance markets.
This transition boosted gross margins to 77% in 2023.
Despite aggressive sales spending, Rubrik remains unprofitable with a -12% contribution margin in 2023.
Rubrik aims to capitalize on the expanding data security market, projected to reach $23.4B by 2024.
Competition includes established players like Veeam and Commvault and emerging rivals like Cohesity.

Read the full article here and S-1 here

Tiger Global’s 16th Fund Closes Below Expectations

Tiger Global's 16th fund closed at $2.2 billion, way below its $6 billion target. Analysts attribute this to both market conditions and Tiger's strategy. Other big players like Carlyle, Insight Partners, and Coatue have also missed targets recently. Despite this, $2.2 billion is still a significant amount.

Read the full article here

Alphabet Considers Acquisition of HubSpot

Alphabet, Google's parent company, is considering a bid for HubSpot, a marketing software firm valued at $35 billion. This move could be a big deal in the tech world, especially amidst growing regulatory scrutiny. Despite uncertainties, HubSpot's shares surged on the news, showcasing investor excitement about its potential.

Read the full article here

Ripple to Challenge Tether, Circle with launch of USD Stablecoin

Ripple joins the stablecoin race with a USD-backed digital currency. Its reserve-backed approach aims for stability amidst past industry hiccups. CEO Brad Garlinghouse sees it as a natural step amid market shifts. Despite regulatory challenges, Ripple pushes forward, also addressing ongoing SEC lawsuit with expectations of a settlement in millions.

Read the report here