Varonis Systems, whose technology is used by companies to monitor and supervise who has access to their data, said on Tuesday it planned to raise $100 million in an initial public offering on Wall Street.
In a filing with the U.S. Securities and Exchange Commission, the company said the offering should take place this November or December for trading on the Nasdaq Global Select Market. It didn't say how many shares will be offered or the price range. However, the company's board approved a valuation of shares earlier this month of $24.36 each.
This year is proving to be one of Israel's best in memory for IPOs. Enzymotec, a biotechnology company, raised $63.5 million in September while Wix, a maker of do-it-yourself website technology, said earlier this month it planned a $100 million offering, and Evogen, another biotech company, said it planned a $60 million sale.
Varonis, headquartered in New York City, posted a net loss of $4.8 million last year on revenues of $53.4 million, a 38% increase from 2011. In the first nine months of 2013, revenues rose to $26.6 million from $19.4 million a year ago, but its net loss widened to $9 million from $7. million.
“Data you can’t share is a frozen asset. If nobody can access it, it has no value, but if too many people have access, it turns from an asset to a liability," David Gibson, Varonis' vice president of marketing, said in an interview with Forbes magazine this week. "Secure collaboration, where all the right people have access, all data use is monitored and abuse is flagged, is where we have to get to.”
The three largest shareholders in the company are the venture capital funds Accel Partners with 25.6%, Evergreen Venture Partners with 23.1% and Pitango Venture Capital with 17.7%. EMC, the world's largest data storage systems company, owns a 6.4% stake and is the largest of its 2,000 customers, responsible for 9.7% of 2012 sales.
Varonis was founded in 2005 by networking experts Yaki Faitelson, who is now CEO, and Ohad Korkus, its chief technology officer. Faitelson and Korkus hold stakes of 9.2% and 9.4%, respectively. Over the years, the company raised $33 million from investors and today it has about 540 employees, of whom 224 are based in Israel.
Morgan Stanley, Barclays Capital, Jefferies and RBC Capital Markets will serve as lead underwriters..