The media reported that Databricks, a San Francisco-based technology company that is one of the most valuable private firms of the corresponding category in the world, raises billions of dollars in cash and so far has not demonstrated any significant desire to go public as quickly as possible.
According to the information made public by reporters, the mentioned company is raising at least another $5 billion as part of its latest funding round. At the same time, the firm has prospects that the specified figure rises to the $8 billion mark. This was reported to journalists by insiders, who have used the right of anonymity since in this case information related to the category of confidential is implied. It is also worth noting that the funding round is still ongoing, so the $8 billion mark is still not something that could become an objective fact, but it is guaranteed to remain in the space of unrealized opportunities. At the same time, the realism of the materialization of the corresponding probability is not at 100%. Currently, the value of Databricks is $55 billion.
An insider told reporters that the new financing is intended to help employees of the company sell shares. In this context, it is worth noting that decreasing pressure from employees interested in cash out also means declining the need for an initial public offering (IPO) of securities of the firm. Another media informant also stated that the new funding round actually cancels the urgency in the context of the IPO issue. At the same time, as journalists reported, the listing may take place in the second half of next year.
Databricks was founded in 2013. The company sells software that helps enterprises organize data and develop their own products based on generative artificial intelligence. The firm uses machine learning to let customers from AT&T to Walgreens parse through and make sense of massive troves of information.
Databricks last raised $500 million. At that time, the company’s valuation was fixed at $43 billion. The firm is backed by Nvidia, Capital One, Andreessen Horowitz, Baillie Gifford, Fidelity, Insight Partners, Tiger Global, and others.
As we have reported earlier, Boosted.ai Raises $15 Million.
