Cloud-based customer and employee engagement platform Freshworks is anticipating its impending IPO to attract a target price range that could see its valuation approach $10 billion. Founded in Chennai, India and now based in San Mateo, California, Freshworks is considered a more affordable alternative to Salesforce, its primary market rival. The company expects to raise funds in excess of $900 million with its Wall Street debut, setting a target price of around $32 to $34 per share—an increase from the original range of $28 to $32.
Freshworks offers a suite of customer relationship management tools that are easy and affordable to adopt by small and growing enterprises—and are also completely cloud-based and comprehensive. The company’s technology is used by more than 50,000 companies in 120 countries, including notable organizations like Vice Media, Klarna, Fiverr, and Delivery Hero. In its last round of funding in November 2019, the company was valued at $3.5 billion, almost a third of the expected IPO valuation. Its quickly increasing worth is a strong sign that the 11-year-old startup is nipping at the heels of Salesforce and other competitors like Zoho thanks to its widely appealing and intuitive SaaS solutions.