HashiCorp shares surged 12% in Friday’s extended trade after Bloomberg reported the software company was considering a sale.
Bloomberg reported that the corporation has hired an outside consultancy to research potential purchasers’ interest, citing anonymous sources. A corporate spokesperson did not immediately respond to CNBC’s request for comment.
HashiCorp, whose software assists developers in managing resources in public clouds and data centers, listed on the Nasdaq in late 2021, just at the pinnacle of the tech boom. Last year, the stock fell 14%, while the S&P 500 increased by 24%.
As of Friday’s end, HashiCorp was trading at $26.50, 67% lower than its initial public offering price. Its market capitalization is around $5 billion. Revenue growth dropped to 15% in the last quarter, down from 41% the previous year.
“We are behind where we wanted the company to be at this point in our growth cycle, and we have work to do,” CEO David McJannet stated on a conference call with analysts last week.
Mitchell Hashimoto, HashiCorp’s co-founder and former chief technology officer, announced his departure in December.
HashiCorp shares jump on report that company is considering a sale
