San Jose’s quickly growing tech company Apigee, a software maker that builds tools for businesses to manage Web applications, filed on Friday for an initial public offering.
The filing adds life to a lackluster IPO quarter, with public offerings down 47 percent this year over 2013 — just 29 deals so far in 2015. Apigee said in its filing it expects to raise $86.3 million in its public offering, although that number will likely change after the company sets the final share price on the eve of its Wall Street debut. Apigee has not yet disclosed how many shares it will sell.
Apigee will trade on the Nasdaq under the ticker symbol “APIC.”
When talk of Apigee began the IPO process in January , experts anticipated a debut that would value that company at more than $700 million. Deloitte last year named Apigee the fifth-fastest growing in North America among technology, media, telecommunications, life-sciences and clean-technology firms; it posted 17,384 percent revenue growth from 2009 to 2013. The company recently moved from Palo Alto to a new office on Almaden Boulevard.
Apigee provides tools to support and manage technology known as application program interface, or API — the software that helps connects applications on the Internet. APIs also connect a company’s services, content and data to developers, making it possible for developers to create new applications for the Web and mobile devices. For instance, when someone uses Yelp to look for the closest Italian restaurant, APIs are powering that experience. Apigee’s tools allow businesses to better gather and analyze data from their APIs, create a better user experience, speed up applications and keep data safe from cyber threats.
Apigee’s total revenue grew from $27.6 million in 2012 to $52.7 million in fiscal 2014 — a 91 percent increase. But as so often happens with fast-growing companies, Apigee’s losses have been soaring, from $8.3 million in 2012 to $60.8 million in 2014. During that same three-year period, its operating expenses jumped nearly four-fold from $24.8 million to $83.7 million
