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Automotive lifecycle data startup Solera files for IPO, seeking to raise $1.5B - SiliconANGLE

Jul 01, 2024 - siliconangle.com
Automotive data software startup Solera Corp. has filed for an initial public offering (IPO) with the U.S. Securities and Exchange Commission, aiming to raise $1.5 billion at a valuation of $10 billion to $13 billion. The big-data analytics company, which focuses on the automotive industry, analyzes the lifecycle data of vehicles to provide insights for customers such as car dealers and insurers. The company, backed by Vista Equity Partners, is expected to start marketing its IPO as early as next month.

However, Solera is not yet profitable, posting a net loss of $486.3 million on revenue of $2.44 billion in the 12-month period ending March 31. The funds raised from the IPO will be used to pay indebtedness and for general corporate purposes. Post-IPO, Vista is expected to continue controlling a majority of the voting power in the company. The IPO will be led by Goldman Sachs Group Inc., Morgan Stanley, Bank of America Corp., and Jefferies Financial Group Inc., with Solera to be listed on the New York Stock Exchange under the ticker symbol “SLRA.”

Key takeaways:

  • Automotive data software startup Solera Corp. has filed for an initial public offering with the U.S. Securities and Exchange Commission, aiming to raise as much as $1.5 billion at a valuation of about $10 billion to $13 billion.
  • Solera is a big-data analytics company that focuses on the automotive industry, providing insights for customers such as car dealers and insurers to help with vehicle claims, repairs, and predictive maintenance.
  • The company, which is backed by Vista Equity Partners, is not yet profitable and reported a net loss of $486.3 million on revenue of $2.44 billion in the 12-month period ending March 31.
  • Following the IPO, Solera plans to use the funds raised to pay indebtedness and for general corporate purposes, with its main backer Vista expected to continue to control a majority of the voting power in the company.
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