Israeli co Outbrain files for Nasdaq IPO

Outbrain co-CEOs Yaron Galai and David Kostner Photo: Noam Galai
Outbrain co-CEOs Yaron Galai and David Kostner Photo: Noam Galai

The filing comes as Outbrain's Israeli content recommendation rival Taboola begins trading on the NYSE, following its SPAC merger.

Israeli content recommendation company Outbrain filed a prospectus with the US Securities and Exchange Commission for an IPO on Nasdaq.

In the first quarter of 2021, Outbrain reported revenue of $228 million, compared with $177 million in the corresponding quarter of 2020, while swinging from a net loss to a net profit of $10.7 million. The valuation that the company is seeking was not disclosed.

Outbrain, which was founded by co-CEOs Yaron Galai and David Kostman had agreed to merge with its Israeli rival Taboola in 2019 but the deal fell through. Coincidentally, Outbrain's filing comes as Taboola begins trading on the NYSE at a valuation of $2.6 billion, following the completion of its SPAC merger with the ION Acquisition Corp. 1.

Outbrain's shareholders include Lightspeed, Viola, Gemini, Index Ventures and Gruner + Jahr. Co-CEO Yaron Galai holds a 7.8% stake.

In Outbrain's proposed IPO, Citigroup, Jefferies, Barclays, and Evercore ISI will serve as joint book-runners, while JMP Securities, Needham & Company and LUMA Securities will act as co-managers.

Published by Globes, Israel business news - en.globes.co.il - on June 30, 2021

© Copyright of Globes Publisher Itonut (1983) Ltd. 2021

Outbrain co-CEOs Yaron Galai and David Kostner Photo: Noam Galai
Outbrain co-CEOs Yaron Galai and David Kostner Photo: Noam Galai
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