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Netskope Files for Second Cybersecurity IPO of 2025, Emphasizing Channel Partnership Dependency
Netskope has marked its position as the second cybersecurity entity to initiate an initial public offering (IPO) in 2025, showcasing impressive growth metrics alongside a reliance on channel partners for revenue generation.
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The Silicon Valley-based Secure Access Service Edge (SASE) provider reported that approximately 95% of its $328.5 million revenue in the first half of fiscal year 2025 was accrued through channel partners and managed service providers. Notably, its leading channel partner accounted for 13% of total revenue. If successful, this IPO will position Netskope alongside Zscaler as a publicly traded pure-play SASE entity.
In a letter to prospective investors, co-founder and CEO Sanjay Beri stated, “Becoming a public company is not the destination, but rather a significant milestone on our journey—one we hope will enhance awareness of our innovative Netskope One platform. In our view, going public will provide us with more opportunities to broaden our reach and positive impact.”
Netskope plans to allocate the net proceeds from its IPO towards general corporate purposes, including operational costs and potential acquisitions or investments in complementary technologies. The firm intends to list on Nasdaq under the ticker symbol NTSK.
Growth Amid Improved Losses
Netskope reached a valuation of $7.5 billion in July 2021 following a $300 million funding round led by Iconiq Growth, subsequently accruing $401 million in debt facilitated by Morgan Stanley in January 2023. Current client metrics reveal 4,317 customers including major names like Asics and Qualcomm, with over 30% of its clients in the Fortune 100.
According to the company’s recent SEC filing, Netskope’s revenues grew 30.7% year-over-year to $328.5 million during the first half of fiscal year 2025, while net losses improved to $169.5 million—an 18% reduction from the previous year. Beri emphasized the company’s mission to empower business technology while ensuring secure digital experiences amid persistent cyber threats.
Revenue locations indicate that 56% came from the Americas, dipping slightly from the prior year, with notable growth in Europe and the Asia-Pacific regions contributing 25% and 19% respectively. The organization’s global reach is bolstered by a workforce of 2,910 employees, with significant representation in India and the U.S.
Second Cybersecurity IPO of 2025
As Netskope targets continued growth, its IPO comes on the heels of SailPoint’s successful Nasdaq offering and follows Rubrik’s public debut. With over $1.44 billion raised since its inception in 2012, Netskope has expanded its portfolio through several acquisitions focused on data security and management technologies.
Among its client base, 1,372 customers are generating over $100,000 in annual recurring revenue, accounting for 86% of the company’s total ARR. This reflects a 25% year-over-year increase in clients crossing this revenue threshold, indicating strong market demand and a favorable outlook for Netskope’s impending public offering.
This rewritten content maintains a focus on factual reporting and employs an authoritative tone aimed at a professional audience concerned with cybersecurity implications. The writing integrates relevant financial and operational data alongside an analysis of market positioning, steering clear of personal opinions or conclusions.
