Following Snap Inc.’s successful initial public offering last week, two more tech companies are following suit and taking to the stock market. This week, San Francisco-based Okta and New York-based Yext both announced that they are filing for an IPO.
Founded back in 2006, Yext is a location data platform that started out as a local advertising business. Founders Howard Lerman, Brian Distelburger and Brent Metz started the business as GymTicket.com, which helped internet users find gyms based on location. When these users called a gym to sign up for a trial membership, the company charged a fee. Within a year, the company’s sales reached $1 million — and the company morphed into Yext.
By 2009, Yext was generating $20 million in revenue and switched its billing model to one based on leads via pay-per-action ads. In 2012, the company shifted its focus again, pivoting to hone in on its listing update service. Now, the company primarily helps businesses like Best Buy, McDonald’s and Marriott synchronize their data across local search services and their own websites.
Yext will join the stock market sometime in April and is planning to raise about $100 million through the IPO.