Snowflake is pricing its initial public offering above an already-increased range, according to a report.
The cloud storage and computing firm plans to sell shares at $120 each in an IPO planned for Wednesday, the WSJ reported late Tuesday. It’s selling 28 million shares in the offering, implying a market cap of over $33 billion.
Snowflake will list on the NYSE under the ticker SNOW.
The price marks the second increase since its IPO filing. It originally set a midpoint range of $80 per share, but raised it to a midpoint of $105 in a new filing on Monday.
The increased prices suggest high demand for Snowflake’s offering.
Last week, Salesforce (CRM) – Get Report and Berkshire Hathaway (BRK.A) – Get Report each opted to buy several million shares in a show of confidence for the tech firm.
Snowflake sells storage, computing, and cloud services to companies looking for efficient ways to manage data, with a particular focus on multi-cloud environments that are increasingly typical of large enterprises.
Snowflake’s data warehousing and analytics services permit cross-cloud integration, and its financial disclosures show high sales growth: Its revenue as of Jan. 31, 2020 had grown from $96.7 million to $264.7 million, an increase of 178% year-over-year.
On Tuesday, Jim Cramer told TheStreet’s Katherine Ross that he is considering adding Snowflake to the Action Alerts Plus portfolio, forecasting that its IPO may wind up “the biggest hit of the year.”
Snowflake is one of several tech IPOs expected this week.
Game development platform Unity, development operations platform JFrog, and application monitoring firm Sumo Logic are all slated to make their public debuts this week.
Data analytics firm Palantir and workforce software firm Asana are expected to go public later this month.