Seeking investors have lined up for a $5 billion IPO of a new company called Web Hosting Services.
The company, which was founded in 2014 by entrepreneur and former Apple Inc. employee Peter Graziano, said on Tuesday it had raised $5.2 billion in financing, including $1.1 billion from SoftBank Group Corp., which owns a majority stake in Web Hosters.
The funding was led by Jana Partners, a Japanese investment bank that had previously backed two other startups.
The fund is led by a team led by Peter Gries, who previously served as president and chief executive of SoftBank’s media division.
SoftBank has said that its aim is to create a new and better web hosting platform that will offer faster and more reliable hosting services.
The Japanese firm’s previous funding round in 2017 raised $2.9 billion.
It had been working on the IPO for several months, according to the company’s press release.
The IPO will be made public on Thursday, the company said.
A spokesperson for SoftBank declined to comment.
Graziani, who joined Apple in 2012, said in an interview with The Wall Street Journal that the company was looking for a “super high-performance platform” to serve customers with high-speed, reliable web hosting.
The service is designed to be an “integrated solution,” he said.
Gries said in the interview that Web Hoster is “not a competitor” to Google’s ElasticSearch or Amazon Web Services.
Google’s Cloud Platform and Amazon’s Elastic are “totally different platforms,” Gries added.
“We are focused on the same thing: making web hosting as fast as possible.”
He said the company is “working on some new and exciting technologies.”
The company has been focused on its core business of hosting websites, but it has also developed an “internet of things” and augmented reality services that offer cloud-based analytics, virtual reality, and robotics.
Groomsi and Grazi’s team also said that they plan to work with venture capitalists and angel investors to “implement our vision for the future of web hosting.”
Grazini said in a statement that WebHosters aims to help users “to have a secure, scalable, and fast internet environment.”
He added that Webhosters aims “to provide an unparalleled service to our customers and accelerate their adoption of the new technology and business model.”
The SoftBank investment comes amid a shake-up of the tech industry that has seen the departure of some top executives.
Earlier this month, Alphabet Inc. chairman Eric Schmidt said his company had decided to “stop investing” in Silicon Valley companies.
He cited “disgruntled employees” who were unhappy with the direction the company had taken in recent years.
Softbank is a part owner of Google, which has been a frequent investor in WebHosting.