Neo4j Inc., the leading provider of graph database and data science tools, plans to go public on the Nasdaq stock exchange in New York, according to its largest owner, Greenbridge Holdings Sarl. With over 75% of Fortune 100 companies as its clients, Neo4j is well-positioned for an IPO. The company is currently in discussions with various banks to gauge market interest and has yet to select a bank for the listing.
Greenbridge, which holds a 21% stake in Neo4j, sees potential in the field of generative artificial intelligence and believes the company’s valuation could reach $2.5 billion to $3 billion, considering its performance compared to its peers. However, the market has seen a decline in values since Neo4j’s previous funding round in 2021.
This year, US exchanges have witnessed an increase in IPOs, with companies raising about $7 billion, more than double the amount at this point in 2020. Successful listings of companies like Amer Sports, BBB Foods, and CG Oncology have contributed to this nascent recovery in the equity capital markets.
Neo4j recently announced the appointment of Ola Rollen, the founder of Greenbridge, to its board. Rollen is also the chairman of Hexagon AB, a Swedish measurement technology company. Neo4j has approximately 900 employees and considers MongoDB Inc. and Snowflake Inc. to be its closest listed peers, while facing competition from Databricks Inc, TigerGraph Inc, and Amazon.com Inc.
In addition to Neo4j, Greenbridge also has stakes in two other companies that are potential IPO candidates. Brazilian software company Nstech FS Ltda is eyeing a Nasdaq listing in 2025, and Divergent Technologies Inc, which specializes in 3D-printed structures for cars and aviation, is also considering a listing. Furthermore, Greenbridge is finalizing a fourth investment in the near future.
Greenbridge itself is actively working towards listing on Nasdaq’s First North Growth Market in Stockholm, potentially within this year. The company is addressing all necessary requirements for the listing.
In conclusion, Neo4j is preparing for an IPO on the Nasdaq stock exchange, aiming to capitalize on its strong client base and the growing interest in generative artificial intelligence. The company is engaging in talks with multiple banks to assess market conditions. With Greenbridge as its largest owner, Neo4j looks set to reach a valuation of $2.5 billion to $3 billion.
