EqualLogic Locks Onto IPO

12:01 AM -- In the wake of VMware's eagerly anticipated IPO, iSCSI SAN specialist EqualLogic has quietly filed its S-1 with the Securities and Exchange Commission (SEC). (See EqualLogic Adds Enhancements, EqualLogic Supports Oracle 11g, and Riverbed, EqualLogic Team.) EqualLogic is now looking to raise up to $125 million in its offering, which has Goldman Sachs and Credit Suisse as lead underwriters.

EqualLogic is yet to price its shares, although the vendor confirmed that it will use the ticker 'EQLX' when it starts trading.

EqualLogic downplayed any suggestion of an IPO in months past, but its goals have clearly changed. With more and more big-name vendors jumping into the iSCSI market, EqualLogic's S-1 underlines the growing momentum behind the technology. (See iSCSI Gang Talks Big, 3Com: A New iSCSI Player?, EMC, NetApp Ready New Wares, HP Plans HW/SW Upgrades, and Networked Storage Up 24%.)

In spring 2006, EqualLogic had 950 customers, although this figure has grown to more than 2,500. In the last few months, the vendor has also joined a growing list of vendors placing their faith in thin provisioning. (See EqualLogic: Thin Is In, 3PAR Debuts 'Thin Provisioning', and A Data Reduction Dossier.)

The vendor's revenues have risen steadily over the last few years, from $10.4 million in 2004 to $68.1 million last year. Over the same period, EqualLogic's losses have narrowed from $12.1 million to $0.5 million.In the first three months of 2007, EqualLogic's revenues were $23.8 million and the firm recorded a net loss of $1.2 million.

EqualLogic's IPO may not be tied to as sexy a technology as virtualization, although its S-1 filing shows that iSCSI is fast carving out a place in the storage pantheon. (See FC vs iSCSI: Latest Round .)

James Rogers, Senior Editor Byte and Switch