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.
Suzy Batiz, founder and CEO of ~Pourri, discusses creating Poo-Pourri, building out multiple businesses, and why she believes any problem can be overcome.
Fresh off his unanimous appointment as interim CEO, Dax Dasilva shares his strategy for Lightspeed and why growth and profitability are his biggest focus.
Eddie Ghabour, co-founder and owner of KEY Advisors Wealth Management, explains why he’s investing in India, what could happen if inflation rises again, and the long-term ‘debt bubble’ looming.
The company behind Squishmallows says Build-A-Bear's new Skoosherz toys are a copy of their own plushies. Build-A-Bear filed their own suit basically responding, "No they're not!"
While tech employees worry about artificial intelligence taking over their jobs, Microsoft says Iran, North Korea, and more U.S. adversaries are beginning to use AI in cyber spying.
The self-proclaimed "only Post who worked at Kellogg" was a military veteran who fought in World War II before inventing everyone’s favorite fruit-filled breakfast ravioli.
Kevin Gordon, Senior Investment Research Manager at Charles Schwab, shares his thoughts on how investors can take advantage of the current bull market while keeping in mind the impacts of Fed policy and inflation.
Lab-created diamonds come with sparkling claims: that they are ethically made by machines running on renewable energy. But many don't live up to these claims or don't respond to questions about their electricity sources, and lab diamonds require a lot of electricity.
