Palantir Technologies has made public its plans for a U.S. IPO in registration documents it showed on Tuesday, giving potential investors a glimpse into the group's financial strategies.
The data-mining firm supported by tech tycoon Peter Thiel finally came into the open after years of anticipation to announce that it is joining Wall Street through a direct listing of its common stocks.
Palantir will trade its Class A shares at the New York Stock Exchange under the symbol "PLTR," a filing with the U.S. Securities and Exchange Commission on Tuesday showed.
In its SEC filing, the Denver-based firm said it projected its total addressable market to be valued at nearly $120 billion. Around $56 billion of its target market is in the commercial sector, while the remaining $63 million is estimated to come from the public side.
Co-founded by Peter Thiel, the 17-year-old tech group will test its mettle in the highly stacked New York investment arena, during a period when tech debuts are shining brightly.
With no customary underwriters, the secretive tech startup will not secure any proceeds in its foray in New York. Compared with previous listings, investors will deal with limitations on the number of shares they can sell at the onset.
Palantir made sure it had two kinds of shares – Class A and B – but it's also seeking the green light from stakeholders for a third type of common stock: Class F.
In a prospectus, the tech group divulged that it has never achieved a money-making year since it was formed. The company said it suffered net declines of around $580 million in each of the last two years.
Meanwhile, Palantir's sales were pegged at $743 million last year, rising about a quarter from a year ago. The tech firm estimated it will earn $1 billion in total revenues for 2020 starting in April this year.
