(Reuters) — Atlassian Corporation Plc (TEAM.O) raised $462 million in its initial public offering in New York on Wednesday, as investors gave the Australian software company a warmer reception versus other stock market hopefuls in the technology sector this year.
The company priced its IPO at $21 per share, above its previously indicated range of $19 to $20 per share. Including debt, it values Atlassian at $4.4 billion, higher than its last private valuation of $3.3 billion.
By comparison, payment processor Square Inc’s (SQ.N) IPO valued the company less than its most recent private fundraising round, while data storage company Pure Storage Inc’s PSTG.O IPO valued it at approximately the same.
Atlassian’s IPO success underscores investors’ positive reception to a company that saves money on marketing by foregoing a traditional sales team in favor of offering free product trials and a web-based sales process.
Unlike many of its technology peers, Atlassian, whose software allows businesses to collaborate and manage operations, is already profitable and does not have venture capital funding. Its annual revenue growth rate is nearly 50 percent.
For the fiscal year that ended in June, Atlassian reported a profit of $6.8 million.
Because of its atypically profitable nature, Atlassian is unlikely to be a bellwether for technology IPOs in 2016. The wider IPO market has been choppy for these companies, as investors became more risk-averse and demanded discounts to buy their shares.
Atlassian will use proceeds from its IPO for corporate purposes, including capital expenditures and potential acquisitions.
The company, which has more than 1,200 employees, will trade on the Nasdaq under the ticker symbol “TEAM.” Goldman Sachs Group Inc (GS.N) and Morgan Stanley (MS.N) are the lead underwriters.
Atlassian offered no immediate comment.