Genesys announced on Monday that it has filed confidentially for an IPO in the U.S., aiming to attract investors in the booming AI market.
This comes as the IPO market improves, with renewed interest in tech startups that investors previously avoided due to high valuations.
While Genesys hasn’t disclosed specific IPO details, a Bloomberg report suggests they could raise up to $2 billion.
In December 2021, Genesys raised $580 million, valuing the company at $21 billion. Investors included Salesforce Ventures, Zoom, D1 Capital Partners, and BlackRock.
Genesys was bought by Permira Holdings in 2012 for $1.5 billion and received $900 million from Hellman & Friedman in 2016.
For Q2 of fiscal 2025, Genesys reported over $1.6 billion in cloud revenues, up more than 35% from last year due to AI demand.
Standalone AI products accounted for over 10% of cloud bookings in the first half of the fiscal year.
Analysts predict AI-focused companies will lead tech sector IPOs, given expectations for significant growth as businesses adopt more AI solutions.
Joe Endoso, CEO of Linqto, noted that while there’s a risk of falling valuations, companies like Genesys that utilize AI effectively might do well.
The confidential filing may help gauge investor interest and market sentiment towards AI businesses.
Genesys operates in over 100 countries with more than 6,000 employees, partnering with major tech companies like Amazon, Google, Microsoft, and Adobe.
Its clients include Virgin Atlantic, Axis Bank, and Lenovo, spanning various sectors.
Additionally, Cerebras Systems, a competitor of Nvidia in the AI chip market, also filed for a U.S. IPO last month.
Strong performance in these listings could indicate a robust market interest in AI growth, prompting others to consider going public.
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