ServiceTitan prices US IPO above to raise about $625 million. Reuters writes

(Reuters) – software (ETR: ) startup ServiceTitan has priced its U.S. initial public offering at $71 a share, it said Wednesday, in an IPO that could raise $624.8 million.

The IPO is priced above the company’s previously stated range of $65 to $67 and values ​​it at about $6.30 billion, according to Reuters calculations.

The US IPO market, which has been affected by high interest rates and market volatility for more than two years, has been upended by a turbulent stock market and the Federal Reserve’s rate-cutting cycle.

ServiceTitan will join a handful of venture capital-backed companies, including social media platform Reddit and cybersecurity software firm Rubrik, that have all gone public this year.

The company is selling 8.8 million shares in the IPO and will be listed on Nasdaq under the symbol “TTAN”.

ServiceTitan plans to use the proceeds from the share sale to increase capitalization and financial flexibility, according to its IPO filing.

The company was valued at $9.5 billion after a funding round led by Toma Bravo in 2021.

Founded by Ara Mahdesian and Vahe Kuzoian, ServiceTitan has become a dominant player in the niche market, making software used by more than 11,800 technician-operated businesses serving the HVAC sectors.

ServiceTitan, whose rivals include Salesforce (NISE:), SAP and Jobber, was incorporated in 2007 as LinkLogic. It first launched its platform in 2012 and was renamed ServiceTitan in 2014.

Goldman Sachs, Morgan Stanley (THEY ARE NOT:), Wells Fargo (THEY ARE NOT:) i Citigroup (NISE:) lead a syndicate of 14 underwriting firms for the IPO.