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Thoughtworks IPO is coming soon. On September 7th, the company set its terms for going public. Here are the latest updates …

Thoughtworks IPO: About the deal

Thoughtworks is a leading technology consultancy that helps companies develop software or set up an online presence. The company was founded in Chicago in 1993 and is a pioneer in the industry. Today the company has an international presence with over 9,000 employees in 48 branches in 17 countries.

Thoughtworks integrates strategy, design and software to help businesses succeed online. It offers world-class end-to-end digital strategy, design and engineering services to support companies in their digital transformation. Walmart, PayPal, Kroger, Bayer and other well-known companies have benefited from the company’s services. Thoughtworks offers its services to over 300 companies.

COVID-19 offers market opportunity

COVID-19 and mandatory stay-at-home orders confirmed the need for digital transformation. In the Thoughtworks IPO prospectus, the company highlights …

IDC predicts that by 2022 70% of all companies will have accelerated the use of digital technologies and by 2023 75% of companies will have comprehensive roadmaps for implementing the digital transformation, compared to 27% today, which leads to a real transformation in all areas of the company and Society.

Innovation in the technology sector is growing rapidly and companies need to keep up. The company included data from MarketsandMarkets that global spending on digital transformation will grow from $ 470 billion in 2020 to more than $ 1 trillion by 2025. Many companies will be looking for service providers to help with the transition. In the S-1 registration, the company noted …

Most companies don’t have the expertise to keep up. Because of this, according to MarketsandMarkets, spending on digital transformation services is expected to more than double to $ 1 trillion by 2025. At the same time, many other service providers lack the in-depth specialist knowledge, first-class skills, proximity to customers and global presence that are required to provide and provide innovative technology solutions quickly and on a large scale.

This presents a tremendous opportunity for the company to grow. And investors could win big with Thoughtworks going public. Last year alone, the company posted net income of $ 79 million. Let’s dive into the finances of Thoughtworks …

Thoughtworks IPO: Financial Information

The following numbers are from Thoughtworks’ prospectus filing. It enables investors to gain vital insight into the company’s finances. If you’re in the TWKS stock market, let’s look into the details.

Net result: Thoughtworks’ net income has grown. The company posted net income of $ 28 million for 2019 and $ 79 million for 2020, a year-over-year growth of over 178%.

Cash: Thoughtworks’ cash flows have declined. The company recorded $ 491 million in cash as of December 2020. But as of June 30, 2021, the company’s reported cash has dropped to $ 216 million.

Total assets: Thoughtworks’ total assets have grown. In December 2019, the company had total assets of $ 1 billion. By December 2020, Thoughtworks’ net worth grew over 66% to $ 1.5 billion – a 50% year-over-year increase.

Total liabilities: Thoughtworks’ total debt increased slightly. In December 2019, the company had total debt of $ 633.6 million. By the end of 2020, Thoughtworks’ total debt increased to $ 667.7 million.

For a better look at the company’s finances, you can read the Thoughtworks IPO prospectus. And for those interested in submitting, let’s look into the details.

Thoughtworks IPO login details

Thoughtworks filed paperwork with its parent company, Turing Holding Corp. The company plans to convert it to Thoughtworks Holding before the IPO closes. The company filed for an IPO on August 20 and set its terms on September 7.

Thoughtworks offers 36.8 million shares at prices ranging from $ 18 to $ 20 per share. This means that ThoughtWorks IPO could raise up to $ 720 million. Investors can expect a price for the company on September 14th.

In the company’s prospectus filing, the company announced that it would target a market capitalization of approximately $ 6 billion after the valuation. The share is listed on the Nasdaq stock exchange under the ticker symbol “TWKS”.

The TWKS share should be traded on September 15th. Goldman Sachs and JP Morgan lead the offer.

If you’re interested in other tech investing opportunities, check out FAANG stocks or these top semiconductor stocks.

As always, make sure you do your research before investing. IPOs can be volatile in the first few months and share prices change constantly. However, if you are interested in IPO investing, check out our top IPOs and our IPO calendar. It is updated daily to bring you the latest news on upcoming and pending IPOs.

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About Aimee Bohn

Aimee Bohn graduated from Towson University’s College of Business and Economics. Her background in market research helps her uncover valuable trends. Researching IPOs and other trends has been her main focus over the past year. When Aimee isn’t writing for Investment U, she can usually be found doing graphic design or traveling with friends.