Netskope, one of the leading players in the cloud-based cyber security solutions market, has hired Morgan Stanley as an advisor for its planned IPO. According to unofficial information, the IPO could launch as early as the third quarter of 2025 and raise more than $500 million for the company. The expected valuation? At least $5bn – although this is clearly less than the $7.5bn at which Netskope was still valued at the peak of the market boom in 2021.
Netskope’s decision is part of a trend of large private technology companies returning to stock market plans. After months of uncertainty related to geopolitics, inflation and trade tensions, the US IPO market is slowly starting to stabilise. This can be seen, for example, in the resumption of preparations by companies such as Chime and eToro. In this context, Netskope’s move could be another sign that the second half of the year will bring a recovery in the primary market.
Netskope is today one of the most important providers of SASE (Secure Access Service Edge) solutions, and its products secure SaaS applications, websites and corporate user data. Its customer portfolio includes Ross Stores and Yamaha, among others. The company competes with the likes of Zscaler and Rubrik, and its shareholders include Goldman Sachs, CPP Investments and Canadian pension funds.
Despite the growing demand for advanced cyber security solutions – especially in an era of widespread adoption of AI, remote working and hybrid infrastructure – investors remain cautious. Valuations of technology unicorns have undergone a painful correction, and IPO success is increasingly determined not by the promise of growth alone, but by hard financial results and a clear path to profitability.
If Netskope decides to go for an IPO in 2025, it will be an important test of investor sentiment towards the cyber security sector. A successful IPO could set off a wave of further offerings in this segment, which – despite the general cooling of the technology market – remains one of the most promising.
