SendGrid files for marketing email IPO

Katie Roof
SendGrid, the Denver-based marketing email company, raised $131 million after pricing its IPO at $16, above the expected range of $13.50 to $15.50.

Denver-based SendGrid has filed for an IPO.

The company, which helps marketers send emails to customers, says in its S-1 that it has processed more than "one trillion emails."

Revenue for last year was $79.9 million, compared with $58.5 million in 2015 and $42.3 million the year before. The business is unprofitable, losing $3.9 million in for 2016, compared to $5.9 million in 2015.

According to the "risk factors" section of the filing, "if we are unable to maintain consistent revenue or revenue growth, our stock price could be volatile or decline, and we may not achieve or maintain profitability."

SendGrid acknowledges that it competes with SparkPost, MailChimp and divisions of Amazon, Salesforce and Oracle.

The company has raised more than $80 million in venture funding dating back to 2009. The largest shareholders are Foundry Group, Bessemer Venture Partners, Highway 12 Ventures and Bain Capital Ventures. SendGrid launched after participating in a Techstars accelerator.

Morgan Stanley and J.P. Morgan are managing the IPO.

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