Software provider Datto Holding Corp. ($MSP) went public on the New York Stock Exchange Wednesday at $27 per share, the top-end of its target IPO range.
The stock popped out of the gate but has since leveled off throughout the afternoon.
The Norwalk, Connecticut-based company's unusual ticker symbol is meant to stand for "managed service providers," which make up Datto's main clients and partners.
"These are the first responders of any IT disaster, and they're the ones that make all the technology work for the engine that powers America's economy," founder Austin McChord told Cheddar.
Datto offers cloud-based and cybersecurity solutions to managed service providers, who in turn provide for the technology needs of most small and midsize companies.
These providers pay Datto a subscription fee of, on average, $30,000 per year.
"Small-medium businesses want the same mission-critical technology that enterprises do," CEO Tim Weller said. "So the themes you see in tech every day — the shift to cloud, remote work, security — all of these things are coming rapidly to small and medium businesses, and we believe will be delivered by managed service providers."
He added that the IPO will not change the company's basic business model.
"The amazing thing is we're still doing what we've done for the last 10 years," Weller said. "We create technology for small-medium business. We partner with this large global community of managed service providers, and we put it out into the field as subscription revenue."
McCord noted that if anything the offering will help raise awareness of the technology needs of small and midsize businesses, which have been devastated by the coronavirus pandemic.
The most magical place on Earth wants a protective order to keep Gov. Ron DeSantis' appointees from knowing how the magic happens. A federal judge dismissed a separate Disney lawsuit last week.
Just days before the 49ers and Chiefs play in Las Vegas, Joe Pompliano, Investor at Pomp Investments and author of the Huddle Up Newsletter, discusses why he thinks this could be the most-watched Super Bowl in history.
Chris Versace of Tematica Research LLC shares his thoughts on Jerome Powell's latest comments, the timing of those crucial rate cuts, and what semiconductor stocks he's watching closely.
We battle an onslaught of advertising every time we scroll through social media. Deinfluencers propose a less pricey, more honest approach to how we shop online. Could they convince us to spend less?
Scott Gutz, CEO of Monster.com breaks down the company’s Work Watch Report for 2024, including what’s motivating workers to look for new positions and why they should see A.I. as an opportunity.
Tom Graff, Chief Investment Officer, Facet, discusses what the latest jobs report says about this ‘pretty good’ labor market and why the market should worry less about the Fed’s next decision.
Universal Music Group, which represents artists including Taylor Swift, Drake, and Ariana Grande, has removed its music from TikTok and accused the app of bullying and intimidation.
