Plano’s banking software provider Alkami plans US IPO at $3 billion valuation

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Plano’s banking software provider Alkami plans US IPO at $3 billion valuation

Alkami Technologies, the Plano, Texas-based banking software provider has been gridding up its loins for a slated US IPO (Initial Public Offerings) later this year which analysts claimed could value the tech start-up at a lump-sum of $3 billion, while the Texas-based 13-year old tech start-up has also picked up the leading US lender and financial services provider Goldman Sachs Group Inc. as its lead underwriter for the initial offering, a press agency report published late on Monday citing unnamed people familiar with the subject-matter.

In point of fact, latest progress over a US IPO of Alkami Technologies, the Plano, Texas-based supplier of cloud-based platforms, which bank and credit card companies could capitalize on to setting up digital offerings of their business and retail customers, backed by deep-pocket investors likes of General Atlantic, Fidelity Management and Research Company and D1 Capital Partners, came against the backdrop of a US IPO market which has been at its strongest in more than half a decade, suggested analysts.

Alkami hires Goldman Sachs as lead underwriter for US IPO

On top of that, recent move from Alkami to hire Goldman Sachs as its lead underwriter for a planned US IPO came forth as a vivid illustration of how well a flurry of financial services companies’ digital platforms had provided with a secure and effective digital podium to work on in times of a global-scale catastrophe.

More importantly, a slew of smaller lenders which lack resources to relocate heavy-money to develop such internal banking systems, turned to third-party banking software providers like of Alkami Technologies during the pandemic-propelled upheavals.

Alkami, which had raised about $140 million in a fundraising campaign on September last year in an undisclosed valuation, has been offering its cloud-based banking services to more than 160 financial institutions, said the Plano, Texas-based company.