Paymentus Holdings Inc. is seeking a valuation of up to $2.4 billion in its U.S. initial public offering (IPO), Reuters reported.
Based in Redmond, Washington, the billing and payments network is offering 10 million shares priced between $19 and $21 each and hopes to raise up to $210 million, according to its Securities and Exchange Commission (SEC) filing.
Paymentus saw its revenues increase by 32 percent to reach $92.2 million in the first quarter of 2021, helped along by an increase in consumers using online payments, according to Reuters. The offering is being underwritten by Citigroup, Bank of America Securities and Goldman Sachs.
The news comes days after another payments company, Marqeta, filed with the SEC to go public, PYMNTS reported. Based in Oakland, California, Marqeta specializes in helping companies issue debit and credit cards to employees or contract workers and has customers that include Instacart, DoorDash and Square. The IPO could value Marqeta at around $10 billion.
IPOs have been seeing complications recently. PYMNTS reported last week that there have been some record-setting highs when it comes to mergers, with global companies raising somewhere in the vicinity of $248 billion. These record numbers are due to a combination of factors, including a robust equity rally, as well as huge influxes of U.S. government stimulus money over the past few months.
These big numbers include IPOs along with special purpose acquisition companies (SPACs). This year has seen 1,054 IPOs, which is itself a record, with American companies raising $130 billion, followed by China with $39.1 billion and the U.K. with $12 billion.
But as PYMNTS reported Sunday (May 16), citing The Wall Street Journal (WSJ), stock market volatility has created a wedge in the IPO market, with shares of fast-growing companies stagnating while other companies have put off their IPOs due to market uncertainty.