Tuesday, May 22, 2018

SailPoint Sets Follow-On Offering

Austin-based SailPoint Technologies said late Monday that it has launched a follow-on offering of its stock, where selling stockholders of the company will sell 15,000,000 shares of its common stock. The offering comes six months after the company's successful IPO on the NYSE as SAIL. According to SailPoint, it will not receive any of the proceeds of the sale of stock. The offering is not unusual for the private equity and venture capital investors in companies which have had a recent IPO; they generally have a six month or more period after an IPO where they are not allowed to sell stock in their portfolio companies. When those "lock-up" periods expire, some investors choose to provide liquidity to their investments. SailPoint had been majority owned by private equity investor Thoma Bravo before the IPO. SailPoint is a developer of identity management software.