By Prakhar Srivastava (Reuters) -Tax software company Avalara, which went private in 2022, disclosed on Monday it had confidentially filed for a U.S. initial public offering, indicating plans to go public again amid growing investor optimism for IPOs. The terms of the offering were not disclosed. U.S. IPO activity, sluggish at the start of the […]
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Avalara confidentially files for US IPO, eyes return to public markets
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By Prakhar Srivastava
(Reuters) -Tax software company Avalara, which went private in 2022, disclosed on Monday it had confidentially filed for a U.S. initial public offering, indicating plans to go public again amid growing investor optimism for IPOs.
The terms of the offering were not disclosed.
U.S. IPO activity, sluggish at the start of the year, is gaining momentum following robust investor demand for new offerings.
Avalara went public in June 2018 but was taken private in 2022, when it was acquired by private equity firm Vista Equity Partners in a deal that valued the company at $8.4 billion, including debt.
The filing underscores the broadening of the U.S. IPO market — from originally venture capital-backed deals focused on growth to private equity-backed offerings where the IPO acts as a catalyst for capital structure changes, said IPOX CEO Josef Schuster.
In April, tax firm Andersen had also filed confidentially for a U.S. listing.
Founded in 2004, Avalara runs a cloud-based software platform that helps companies with tax compliance. The Seattle-based company counts Adidas, Crocs and Reebok among its customers.
Companies often file for IPOs confidentially to keep details about their financial and strategic plans private, while engaging with regulators and potential investors.
(Reporting by Prakhar Srivastava in Bengaluru; Editing by Alan Barona)