(Reuters) – programming Startup ServiceTitan (ETR:) has priced its U.S. initial public offering at $71 a share, it said Wednesday, in an IPO that could raise $624.8 million.
According to Reuters calculations, the IPO was priced above the company's previously set range of $65 to $67 and was valued at about $6.30 billion.
The US IPO market, which has been affected by rising interest rates and market volatility for more than two years, has been regulated by a booming stock market and a cycle of interest rate cuts by the Federal Reserve.
ServiceTitan will join a handful of venture capital-backed companies, including social media platform Reddit and cybersecurity software company Rubrik, all of which went public this year.
The company is selling 8.8 million shares in the IPO and will be listed on the Nasdaq stock exchange under the ticker symbol “TTAN.”
ServiceTitan plans to use proceeds from the stock sale to increase capitalization and financial flexibility, according to its IPO filing.
The company was valued at $9.5 billion after a financing round led by Toma Bravo in 2021.
ServiceTitan, founded by Ara Mahdesyan and Vahi Kozoyan, has become a dominant player in a niche market, making software used by more than 11,800 companies run by technicians serving the HVAC industries.
ServiceTitan, whose competitors include Salesforce (NYSE:), SAP, and Jobber, was founded in 2007 under the name LinxLogic. It first launched its platform in 2012 and was renamed to ServiceTitan in 2014.
goldman sachs, Morgan Stanley (New York Stock Exchange:), Wells Fargo (NYSE:) and Citigroup (NYSE:) leads an underwriting syndicate of 14 companies to go public.
