Justworks announces launch of initial public offering

Justworks, the software platform that gives small and medium-sized businesses access to benefits, payroll, human resources, and compliance support, announced the launch of its initial public offering of 7,000,000 shares of its Class A common stock.

The company is looking to raise up to $224.0 million and be valued at up to $2 billion.

Justworks, which operates a PEO model, generated $895 million in benefits and insurance related revenue for the year ended May 21, 2021. The company’s product is designed for SMBs with under 100 employees and it currently serves over 8,000 customers across all states representing almost 140,000 worksite employees.

Justworks expects to grant the underwriters a 30-day option to buy an additional 1,050,000 shares of its Class A common stock at the initial public offering price, less underwriting discounts and commissions. The initial public offering price is currently expected to be between $29.00 and $32.00 per share. Justworks intends to list its Class A common stock on the Nasdaq Global Select Market under the ticker symbol “JW.”