Altair Engineering Gears Up for IPO

By Chris Lange Updated Jan 12, 7:24AM EST · Published Oct 9, 8:55AM EDT

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Altair Engineering Gears Up for IPO — © Thinkstock

Altair Engineering filed an amended S-1 form with the U.S. Securities and Exchange Commission (SEC) regarding its initial public offering (IPO). No pricing details were given in the filing, but the offering is valued up to $150 million. The company intends to list its shares on the Nasdaq under the symbol ALTR.

The underwriters for the offering are JPMorgan, RBC Capital Markets, Deutsche Bank, William Blair and Canaccord Genuity.

This is a leading provider of enterprise-class engineering software enabling innovation across the entire product lifecycle from concept design to in-service operation. Its simulation-driven approach to innovation is powered by a broad portfolio of high-fidelity and high-performance physics solvers.

Altair’s integrated suite of software optimizes design performance across multiple disciplines encompassing structures, motion, fluids, thermal management, electromagnetics, system modeling and embedded systems, while also providing data analytics and true-to-life visualization and rendering.

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The engineering software industry is challenged by increasingly sophisticated design requirements and enabled by the ever-expanding availability of cost-effective computing power. Rising expectations of end-market customers, new manufacturing methods such as three-dimensional, or 3D, printing, and new materials such as composites, combined with more powerful math-based computational technologies, are expanding the application of simulation across many industry verticals. The Internet of Things is also changing engineering by broadening the scope of Product Lifecycle Management affording the opportunity to leverage simulation and analytics toward the development of “digital twins” to optimize product performance and manufacturing throughput, predict failure and schedule maintenance operations for in-service equipment.

Altair intends to use the net proceeds from this offering to repay its term loan, which had an outstanding balance of $52.5 million at the end of June 30 and to pay off the revolving credit balance under its credit facility. The remaining net proceeds from the offering will be used primarily for general corporate purposes.

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About the Author Chris Lange →

Chris Lange is a writer for 24/7 Wall St., based in Houston. He has covered financial markets over the past decade with an emphasis on healthcare, tech, and IPOs. During this time, he has published thousands of articles with insightful analysis across these complex fields. Currently, Lange's focus is on military and geopolitical topics.

Lange's work has been quoted or mentioned in Forbes, The New York Times, Business Insider, USA Today, MSN, Yahoo, The Verge, Vice, The Intelligencer, Quartz, Nasdaq, The Motley Fool, Fox Business, International Business Times, The Street, Seeking Alpha, Barron’s, Benzinga, and many other major publications.

A graduate of Southwestern University in Georgetown, Texas, Lange majored in business with a particular focus on investments. He has previous experience in the banking industry and startups.