On Monday, the US-based computer security organisation, McAfee, applied for an IPO with US SEC (Securities and Exchange Commission) through S-1 form, intending to list the stock with the ticker “MCFE”. The underwriters for the McAfee IPO are Citigroup Incorporation, TPG Capital BD LLC, Goldman Sachs & Company, Bank of America Securities, and Morgan Stanley.
The US cybersecurity firm projects to have a market capitalisation of $41.2 billion, with an annual compound growth rate of 7.9% for four years, i.e. by 2024. The company follows the IPO strings of other similar industry ventures such as Snowflake, Sumo Logic, Unity Software Incorporation, JFrog Ltd., etc., which possessed success to their listings.
The company also reported its financial reports till June 27, i.e. for the half-year, with net revenues accounting $1.4 billion as compared to the $2.6 billion in 2019. The firm also posted net earnings of $31 million with a net margin of 2.2% for the first 26 weeks of 2020 as compared to the net loss of $236 million in 2019. The venture’s adjusted earnings before interest, tax, and depreciation (EBITDA) was $507 million for McAfee till June 27 as compared to $799 million in 2019.
The global security company which started its operations in 1987 was adopted by Intel for $7.7 billion in 2010 but chose to spin off the firm in 2016 for $4.2 billion.