Veeva Seeks to Raise Up to $183 Million in Cloud Computing IPO
Veeva Systems Inc. (VEEV), the maker of Web-based software for pharmaceutical sales, plans to raise as much as $182.6 million in a U.S. initial public offering.
The company and existing shareholders are offering 13 million shares at $12 to $14 each, according to a regulatory filing today. Pleasanton, California-based Veeva plans to list on the New York Stock Exchange under the symbol VEEV.
The funds will help Veeva step up its challenge to Oracle Corp. (ORCL), the world’s largest database-software maker, with tools to help drugmakers promote treatments to doctors. It has already won over many of the world’s top drugmakers with technology tailored to the pharmaceutical industry, counting 33 of the 50 largest global pharmaceutical companies among its customers, according to the filing.
Veeva posted sales of $92.4 million in the six months through July, about 71 percent higher than they were a year earlier, according to the filing. At the midpoint of the price range, Veeva would be valued at about $1.59 billion, data compiled by Bloomberg show. Veeva initially sought a valuation of about $2 billion, people familiar with the matter said in March.
Morgan Stanley and Deutsche Bank AG are leading Veeva’s offering. The company filed for the IPO using a $150 million placeholder amount last month.
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