Palantir Technologies, which sells data-analytics software, intends to go public via a direct listing by late next month, according to executives at Akita Michinoku Capital, a Japanese wealth management firm.
"At this stage, Palantir is aiming for a direct listing by late September; however the company may still change its plans," Oliver Wright, director of corporate equities at Akita Michinoku, said in a statement.
"Palantir is aiming to raise $961 million. It has already managed to secure $550 million which includes a $500 million investment from Sompo Japan Nipponkoa Holdings and $50 million from Fujitsu."
PayPal (PYPL) - Get Report Co-Founder Peter Thiel is a co-founder of and investor in Palantir through the Founders Fund he started. Other investors include Morgan Stanley (MS) - Get Report, BlackRock (BLK) - Get Report and Tiger Global Management.
"Palantir is used by law enforcement and government agencies to collect and scan for data on citizens to combat crime, hunt for terrorists and, more recently, monitor the spread of covid-19,” said Martin Thornton, head of corporate trading at Akita Michinoku.
“The virus has boosted business with companies using its products to better determine how they reopen."
The Akita Michinoku statement said, “Palantir has proven controversial for the way its tools have been used to enable surveillance and compromise privacy by some. In particular, its use by police and immigration officials has triggered multiple protests.”
Akita Michinoku added that “the company has long resisted a public offering to avoid being viewed as a consultancy and remain out of the public eye while it reduced its reliance on engineers customizing software for each client and worked toward profitability.”