E-signature company DocuSign, which led the charge into digital real estate closings, went public last week. All signs indicate that the company will continue to gain value as more and more real estate professionals realize the value of a digital closing. The company started the initial public offering (IPO) with a value of $29 a share and was trading 37 percent higher by the end of its first day on the Nasdaq. The National Association of Realtors (NAR) proudly noted that it uses the company as its “exclusive eSignature provider” and that the company is an NAR Strategic Investment Company.
Overall, the IPO raised $629 million. $470 million went to the company, and the remainder went to investors and traders. The company struggled last year with serious losses, which some analysts feared would hurt the IPO. In the previous fiscal year, DocuSign lost $52 million. The year before, $115 million. However, the company’s chief financial office (CFO) Mike Sheridan, optimistically said, “There’s a lot of growth ahead.”
DocuSign leadership said the company will continue “enhancing management of corporate documents” so that users, including real estate investors, can connect all forms and contacts. CEO Dan Springer pointed out doing so limits the risk of cyber-hacking and other privacy issues revolving around exposure. He also expressed optimism artificial intelligence could review those documents to analyze how one deal fits in among many. “If you have it all in one place, you can leverage A.I. to see if you have risk exposure” and suggested using other A.I. programs to help identify “rogue salespeople who are executing agreements that could go against the company’s best practices.”
0 Comments