Even though the markets are going through a tough period, there are rumors of a TripActions IPO. According to several news outlets, the company filed a confidential application for publication. But if that happens, will TripActions stock be a good opportunity for investors? Let’s dive into the details…

TripActions IPO: About the Business

TripActions is about travel and cost management company. It helps tech companies keep employees informed and safe. TripActions is in a competitive industry, but it’s bringing new innovations to the game.

In May 2015, Ariel Cohen and Ilan Twigg founded the company. And before that, they founded StreamOnce, a company that was acquired by Jive Software. These leaders have a solid track record of success. And it seems to continue with TripActions.

To expand its corporate travel platform in 2020, the company launched TripActions Liquid™. It is an expense management package combined with a travel solution. This gives finance teams a better view of costs.

The company is growing rapidly. As a result, the growth brings more attention to TripActions’ potential IPO…

Over the past two years, the company has acquired two businesses to enter new markets. In April 2021, the company acquired Reed & Mackay, a high-end corporate travel management solution. Then in February 2022, he added Comtravo to the mix. Comtravo is the leading modern travel solution in Germany, Austria and Switzerland.

These expansion efforts have paid off… TripActions has clients including Lyft, Pinterest, Yelp, Wayfair, Shopify and Zoom, just to name a few. Overall, TripActions is trusted by more than 8,000 companies. It is therefore not surprising that investors are waiting for TripActions to enter the stock markets.

Action and Finance TripActions

Since TripActions is still a private company, we don’t know much about its financial situation. But when confidential documentation passed, that could change soon. However, here is some information we were able to dig up…

TripActions led a Series A funding round in early 2016. The company raised $14.6 million. And since then there have been several rounds of funding…

  • Series B (2017): Raised $12.5 million
  • Series C (2018): Raised $154 million
  • Series D (2019): $250 million raised
  • Series E (2021): $155 million raised
  • Series F (2021): $275 million raised

These funding rounds helped TripActions expand. And this money came from a wide range of experienced investors. For example, Andreessen Horowitz and Lightspeed Venture Partners participated in several rounds.

The latest round of funding values ​​the company above $7 billion. That’s a big price tag for a private company, and it makes one, too investment unicorn. And based on the latest rumors, the confidential filing puts the new estimate at $12 billion.

As for the underlying business growth, the company has released few details on its website. From January 2022 to March 2022, the total value of expenses processed through TripActions Liquid™ increased by 114%. In March 2022, spending increased by 1681% compared to the same period last year.

TripActions reported large increases in both travel and non-travel spending. But unfortunately, we don’t have much more insight into the company’s finances. We’ll be watching closely for more details.

When will the TripActions IPO happen?

The number of IPOs has fallen to a record low as the economy suffers a downturn. Perhaps this is not the best time to go public. TripActions’ IPO is still up in the air, and we’ll let readers know here at Investment U if that changes.

For another company that may go public, see details for Waymo’s IPO. And if you’re looking for other IPO opportunities, check out ours IPO calendar.

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