By Arasu Kannagi Basil
May 8 (Reuters) – Industrial giant Honeywell’s Quantinuum publicly filed its paperwork for an initial public offering in the United States on Friday, moving the quantum computing company closer to being listed on the stock market.
The IPO market has returned in recent weeks after a brief pause in March, as pent-up demand for new listings and reduced uncertainty around the US-Israel war against Iran encourage issuers to press ahead with their IPO plans.
The Broomfield, Colorado-based company reported a net loss of $192.6 million on revenue of $30.9 million for the year ended Dec. 31, compared with a net loss of $144.1 million on revenue of $23 million a year earlier.
“Seeking an IPO is always the best option to raise money, even for high-risk deals around quantum. Given that the US IPO window is open and the market has been so supportive of quantum-linked companies, the strong appeal even for traditional IPO investors is not a surprise,” IPOX CEO Josef Schuster told Reuters.
Quantinuum was formed in 2021 by combining the quantum computing division of Honeywell and Cambridge Quantum. The company has invested more than $2 billion in research and development over the past decade and is currently in the early stages of commercial growth.
Quantinuum, majority owned by Honeywell, makes quantum computers that are capable of solving complex problems that would take classical computers thousands of years or more.
“Customer deployments in commercial enterprises and governments already indicate the magnitude of the opportunity ahead for Quantinuum, one that has the potential to be as impactful as AI promises to be, if not larger,” CEO Rajeeb Hazra said in a letter.
Quantinuum, which plans to sell new shares in the offering, last year raised about $600 million from investors, including Nvidia’s venture capital arm, at a pre-money valuation of $10 billion.
JP Morgan and Morgan Stanley are the leading active bookkeeping managers. Quantinuum will be listed on the Nasdaq under the symbol “QNT.”
(Reporting by Arasu Kannagi Basil in Bengaluru; Editing by Tasim Zahid)