Workday, a provider of cloud-based applications for human resources, said on Monday that it would seek to price its initial public offering at $21 to $24 a share.
At the midpoint of that range, the offering would value the company at $3.6 billion.
Like many other technology start-ups, Workday, founded in 2005, will have a dual-class share structure, with each Class B share having 10 votes. Its co-chief executives, David Duffield, the founder of PeopleSoft, and Aneel Bhusri, whose was chief strategist at PeopleSoft, will have 67 percent of the voting rights after the I.P.O., according to the prospectus. Some 26 million Class A shares will be sold in the offering.
What is Workday? Quentin Hardy explained earlier this year on the Bits blog:
Workday sells cloud-based software for human resources and financial programs and is seeking to follow the success of several recent initial public offerings in enterprise computing. It wants to challeng e the likes of Oracle and SAP by offering a new series of business software products for service industries. Workday's long-term goal is to combine data analysis and social media, helping clients forecast and plan business operations and deploy teams using relatively cheap and accessible software.
Workday's Class A shares will be traded on the New York Stock Exchange under the ticker WDAY.
Morgan Stanley and Goldman Sachs are leading the underwriting of the I.P.O.
