Zendesk acquires Zopim, files S-1 to go public
Zendesk is a popular customer service software company that has filed an S-1 form to go public. Through the IPO, Zendesk will be raising as much as $150 million. Zendesk will be trading under the stock symbol “ZEN.”
Zendesk also announced that it will be acquiring Singapore-based Zopim. Zopim offers live chat software for customer service.
Founded in 2007, Zendesk revealed revenues for the past 3 calendar years. Last year, Zendesk generated over $72 million ($47.5 million in gross profit). Zendesk almost doubled its revenues year-over-year for the past 3 years.
Zendesk has not yet decided the initial public offering price per share. Zendesk has over 40,000 customer accounts across 140 countries. The company competes against Salesforce.com, Freshdesk, and Kayako.
Zendesk saw net losses each year since being founded, including net losses of $24.4 million and $22.6 million in the years ended December 31, 2012 and 2013, respectively. The company has an accumulated deficit of $64.5 million at December 31, 2013.
Between the year ended December 31, 2012 to the year ended December 31, 2013, Zendesk’s revenue grew from $38.2 million to $72.0 million. This is at an annual growth rate of 88%.