Pure Storage Inc. (NYSE: PSTG) quietly entered the market on Wednesday morning in its initial public offering (IPO). The company priced 25 million shares at $17, within the expected range of $16 to $18.There is an overallotment option for an additional 3.75 million shares. At the maximum price, the entire offering is valued up to $488.75 million.

The underwriters for the offering are Morgan Stanley, Goldman Sachs, Barclays, Allen & Co., Pacific Crest, Stifel, Raymond James, Merrill Lynch and Evercore.

The company has two classes of authorized common stock: class A and class B. The rights of the holders of each class of common stock are identical, except with respect to voting and conversion. Each share of class A common stock is entitled to one vote. Each share of class B common stock is entitled to 10 votes and is convertible into one share of class A common stock. Outstanding shares of class B common stock will represent approximately 98.5% of the voting power of the outstanding capital stock immediately following this offering, with directors, executive officers and principal stockholders representing approximately 59.9% of such voting power.

Pure Storage delivers data storage with an increase in performance and with lower complexity and lower costs. Revenue growth and financial disclosures were as follows:

• Revenue increased from $6.1 million for the fiscal year ended January 31, 2013, to $42.7 million for the fiscal year ended January 31, 2014, and to $174.5 million for the fiscal year ended January 31, 2015, representing year-over-year revenue growth of 603% and 308% for its two most recent fiscal years.
• Revenue increased from $24.6 million for the three months ended April 30, 2014, to $74.1 million for the three months ended April 30, 2015, representing period-over-period growth of 201% for its most recent interim period.
• Its net loss was $23.4 million, $78.6 million, $183.2 million, $30.0 million and $49.1 million for the fiscal years ended January 31, 2013, 2014 and 2015, and the three months ended April 30, 2014 and 2015, respectively.
• For the fiscal year ended January 31, 2015, and the three months ended April 30, 2015, 77% and 79% of revenue was from the United States and 23% and 21% from the rest of the world.

Shares of Pure Storage were down about 3% to $16.30 midday Wednesday. So far on the day the range was $16.00 to $17.00, and about 13 million shares had moved on the day.

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