Atlassian Mounts Offering to Help Employees Cash Out
Enterprise software company Atlassian doesn’t even have plans to go public yet, but it’s already helping its 800 employees cash out some of their equity.
The Australian company’s project management software and chat tools are expected to generate more than $200 million in revenue during 2014. More than 35,000 global customers use its products on a software as a self-service model. That means they use Atlassian’s website to sign up for its cloud-based services or download its software. Among its customers are Facebook, Cisco and American Airlines. Its best-known products include JIRA, an issue-tracking application, and Confluence, which enables team collaboration.
More than 1,500 apps are listed in Atlassian’s app store, which has provided developers with more than $20 million. Founded in 2002, the company — which has offices in San Francisco and Austin — says it’s had positive cash flow for 10 years.
This month, Atlassian began a secondary offering that will allow early investors, including current and former employees, to sell $150 million worth of their shares, mostly to mutual fund company T. Rowe Price. The shares represent less than 5 percent of the company’s stock, so the deal puts Atlassian’s value at about $3.3 billion.
Though the company hasn’t announced anything definite, it’s expected to stage an IPO at some point. (Business Insider says it could begin the process this year.) Meantime, it plans to increase the size of its workforce by 30 percent during the first half.
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