Kaltura Valued at $1.24 Billion After IPO
Kaltura has been valued at $1.24 billion after floating on the NASDAQ, 15 years after launching. The enterprise video company, which is partner and competitor to web video tech like Zoom and Microsoft Teams, also raised $150 million to accelerate marketing and sales.
"This is a veteran company, and it's a marathon, not a hundred-meter sprint," said CEO Ron Yekutiel speaking to financial news site MENAFN.
Kaltura says its 2020 revenue was approximately $120 million, with revenue growth steadily accelerating, achieving 46% YoY growth in the first quarter of 2021.
The company says its estimated total addressable market is $55 billion.
The Israeli company, trading as KLTR, made an earlier proposal to IPO last April, but had to defer the offering because of the collapse in the global equity market, Yekutiel told MENAFN.
"The company is growing fast," Yekutiel said, who described the company's modular platform, as "like Lego for video: a variety of different products for different video purposes, such as teaching, or sales and marketing. The system uses every kind of video capability, real-time, live broadcast, on demand.
"The video revolution has just started," he added. "In most enterprises they are only scratching the surface of video's capabilities. The coronavirus accelerated the trend, and raised awareness, and budgets."
He said the firm had invested more in development than in marketing, until now.
"Now, from a position of strength, we will increase investment in marketing. The company also intends to expand in AI, to launch new products, and to enter new markets, among them remote medicine.
He cited Zoom and Teams as indirect competitors in the video collaboration market.
"We don't try to replace them in enterprises. With us, video is a means of learning, marketing, carrying out customer service—more integrated products with high connectivity in the enterprise. In many cases, content created on Zoom goes onto our platform, which manages all the video in the organization. And so, in the pandemic, as the use of Zoom increased, the use of Kaltura increased as well."
Kaltura was founded in 2006 by Yekutiel, Dr. Michal Tsur, Dr. Shay David, and Eran Eitam.