(Alliance News) - Darktrace PLC will cut the value of its initial public offering, Sky News reported on Sunday, as the cybersecurity firm plans to avoid a repeat of Deliveroo PLC's calamitous float.
Sky News reported Darktrace and its advisers are eyeing a price range that would value the company between GBP2.4 billion and GBP2.7 billion. Earlier in April, Sky News reported the company believed it could achieve a valuation of around GBP3 billion.
The announcement on the reduced price range could be made by Darktrace on Monday, Sky News added.
https://news.sky.com/story/darktrace-prices-float-cautiously-as-it-tries-to-avoid-repetition-of-deliveroo-slump-12287052
The UK tech startup, founded in 2013, provides cybersecurity services to businesses using artificial intelligence.
The Cambridge-based company's revenue had surged 39% annually to USD126.5 million in the six months ended December 31 from USD91.1 million. However, its pretax loss widened to USD47.9 million from USD22.2 million.
Darktrace's IPO follows Deliveroo's, which fell flat. Deliveroo priced its IPO shares at 390 pence. The stock closed down at 230.77p on Friday, up 0.2% in the session, but down 41% from its IPO price.
The food delivery firm priced its IPO at the bottom of its price range, citing "volatile" market conditions.
By Eric Cunha; ericcunha@alliancenews.com
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