Cerebras Systems has priced its initial public offering in the United States at $185 per share, according to people familiar with the transaction. The company sold 30 million shares in the offering, generating $5.55 billion in proceeds based on that share count and price.
At that price and share count, Cerebras' fully diluted valuation is $56.43 billion, making it the largest stock market debut so far this year, the sources said. The company set the final price above the upper bound of the range it had been marketing to investors.
Earlier in the process, Cerebras marketed the offering at a range of $150 to $160 per share, which itself represented an increase from an initial marketing range of $115 to $125 per share. The company also increased the number of shares for sale to 30 million from an earlier planned 28 million shares.
Those changes followed heavy investor demand in the bookbuilding process. The sources said orders exceeded the shares available by more than 20 times, prompting the upsizing in both price and share count.
The individuals who provided these details requested anonymity because the information was released ahead of an official statement. Cerebras did not immediately reply to a request for comment. Media outlets first reported details of the pricing, according to the sources.
Context and mechanics
The final price of $185 per share reflects the conclusion of the offering's marketing and allocation phases. The increase to 30 million shares and the upward revisions to the marketed price range were described by the sources as responses to order volume during bookbuilding.
Because the participants sharing information did so before an official announcement, company confirmation remained pending at the time the sources spoke. The sources said that media reports first publicized the pricing details.
Summary of transaction details
- IPO price: $185 per share.
- Shares sold: 30 million.
- Proceeds raised: $5.55 billion.
- Fully diluted valuation: $56.43 billion.
- Marketed price ranges: initially $115 to $125, then $150 to $160, with final price above the marketed range.
- Share count increased from 28 million to 30 million after strong demand.