As a new season takes off on Wall Street, focus among investors is shifting to the IPOs that will be hitting the market this fall. Specifically, investors are gearing up to see some older and better-established companies finally make the jump to go public. With that in mind, eyes are on global technology consultancy Thoughtworks, which set the terms for its IPO on Sept. 7. Since the announcement, more details have emerged and investors are now preparing for the TWKS stock IPO.
Thoughtworks describes itself as having a mass-market business model. Since its founding in 1993, the company has expanded from its base in Chicago to a global reach that spans 17 countries and encompasses over 9,000 workers. Leaders across industries, including Walmart (NYSE:WMT) and PayPal (NASDAQ:PYPL), have implemented Thoughtworks’ technology. In fact, its current client base includes over 300 companies across the globe.
The technology sector has grown impressively since Thoughtworks’ founding, providing ample opportunities for it to grow and expand. The Covid-19 pandemic has also served to create opportunity for tech companies to fill new market needs as remote work trends have increased companies’ dependency on technology. Industry competitor Accenture (NYSE:ACN) has enjoyed a year of stable growth. For investors seeking new opportunities in tech, Thoughtworks is absolutely an IPO worth following as TWKS stock prepares to make its debut.
What to Know Ahead of the TWKS Stock IPO
As of now, investors anticipate that Thoughtworks will begin trading under the ticker TWKS on Sept. 15. It will list on the Nasdaq with Goldman Sachs (NYSE:GS) and JPMorgan Chase (NYSE:JPM) as its underwriters.
According to the company, it will issue a total of 36.84 million shares. The IPO is expected to price between $18 and $20 per share and if this remains the case, the company could stand to raise as much as $328.6 million simply from initial sales. It is also worth noting that “[Thoughtworks] recorded net income of $79.3 million on revenue of $803.4 million in 2020, after income of $28.4 million on revenue of $772.2 million in 2019,” according to MarketWatch.
In the IPO prospectus filed on Sept. 7 with the U.S. Securities and Exchange Commission, the company notes that:
“The IDC (International Data Corporation) predicts that by 2022, 70% of all organizations will have accelerated use of digital technologies, and by 2023, 75% of organizations will have comprehensive digital transformation implementation roadmaps, up from 27% today, resulting in true transformation across all facets of business and society.”
There is plenty of reason to watch with optimism as Thoughtworks prepares to make its public debut. While there are still some details unknown, there is certainly potential for the TWKS stock IPO to become a 2021 winner.
On the date of publication, Samuel O’Brient did not have (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.
