Dell Boomi competitor MuleSoft sets IPO terms; Valuation if priced at midpoint of $1.8 billion

Tom Paine

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MuleSoft, a competitor to Berwyn-based Dell Boomi and others in what Gartner terms integration Platform as a Service (iPASS), announced its preliminary IPO terms on Monday.

Update: MuleSoft IPO planned for 17th; ups range from $12-$14 to $14-16, giving it a potential pre-trading market cap of $2 billion.

San Francisco-based MuleSoft plans to raise $169 million by offering 13 million shares at a price range of $12 to $14. At the midpoint of the range, MuleSoft's market value would be $1.8 billion.

The company reported revenue of $57.6 million in 2014, $110.3 million in 2015, and $187.7 million in 2016 (two year compounded growth ~ 80%), with losses of $47.8 million, $65.4 million and $49.6 million, respectively.

A Dell source had indicated to me that Boomi's growth had been 50% plus over the past few years, impressive but not as high as MuleSoft's.

But most importantly, this growth reflects the increasing importance of integration technology as the cloud economy prevails, with the need to connect both Saas to SaaS and SaaS to on-premise applications growing geometrically.

I would anticipate, not based on any preexisting knowledge but just common sense, Amazon Web Services to play a more direct role in the iPaaS market in the future. That could in some ways help, or hurt, existing iPaaS market participants.

Renaissance Capital expects the offering to price next week. It would be interesting to see if there are any last minute AppDynamics-type offers from, say, major investor Salesforce, but thats unlikely.


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Dell Boomi competitor MuleSoft looking at 2017 IPO (11/26/2016)

With iPaaS market on growth tear, Dell Boomi ups game with new release (12/7/2016)