The recent high-flying tech IPO landscape has come to a halt over the past week as financial markets tumbled and have remained especially volatile in the past several sessions following the first-ever credit downgrade of the United States.
As a result of the current turbulent market conditions, Chicago based Trustwave Holdings, a provider of security and compliance solutions, has decided to delay its initial public offering.
The company originally filed for an IPO with the SEC in April 2011, hoping to raise as much as $100 million in the process, according to its filing.
At the end of 2010, the company had over 900,000 subscriptions to its TrustKeeper software-as-a-service compliance management offering and generated $111.5 million in revenue, with a net loss of $4.6 million. The company is showing solid growth, as revenue for 2008 was $58.3 million, which jumped to $73.1 million in 2009. Adjusted EBITDA increased from $0.4 million in 2008 to $3.1 million in 2009 and $4.9 million in 2010.
In addition to compliance and penetration testing services, Trustwave also runs ModSecurity, the open source web application firewall (WAF) engine for Apache, developed and managed by Trustwave's security team.