Amidst wild market volatility and downturns, Salesforce has sold off the last of its shares in Snowflake, the data analysis software company that made history with its 2020 IPO. It was the biggest software IPO ever, and Snowflake raised nearly $3.4 billion on its opening price. Under its Salesforce Ventures investment arm, Salesforce holds a stake in several other public companies, including Monday.com and Robinhood. But after selling the majority of its Snowflake stock in late 2021, Salesforce dumped the last 5% in the first quarter as the price dropped a whopping 32%.
Since its record-breaking IPO, Snowflake has lost much of its luster. Along with major investor Berkshire Hathaway, Salesforce made a large bet at the time — to the tune of $250 million for 2.1 million shares — and both companies came up big initially. Now, as the tech landscape is feeling the effects of inflation and other economic issues, the once-darling cloud data warehousing company is far closer to its initial price of $120 than its peak of nearly $400 – and it seems Salesforce is holding its major investments with more caution than ever.