Peninsula AI Startup Files For IPO

REDWOOD CITY, CA — A Redwood City startup announced plans to go public Monday, and all indications are that the artificial intelligence software provider is poised to make some real money.

When the dust clears, C3.ai could be worth north of $3 billion according to a published report.

C3.ai will offer 15,500,000 shares of its Class A common stock to the public, the company said in a news release that indicating the proposed offering will be made only by means of a prospectus.

The initial public offering price is expected to be between $31 and $34 per share, the company said.

C3.ai’s Class A common stock has been approved for listing under the ticker symbol “AI” on the New York Stock Exchange.

The company will also sell $100 million in stock to Spring Creek Capital and an additional $50 million to Microsoft, TechCrunch reports.

Spring Creek Capital is an investment arm of the Koch Industries.

An additional 2.325 million shares are reserved for underwriters according to the report.

The company would be valued between $3.08 to $3.37 billion using the company’s share count, according to the report, but C3.ai’s IPO could take a hit in the $70-to $80-million range should underwriters decline their option.