You're watching...
ServiceNow CEO Frank Slootman on the decision to go forward with an IPO after the Facebook debacle and using Morgan Stanley as the underwriter.
Also in this playlist...
Auto-advance: ON
Auto-advance
This transcript is automatically generated
So who would be bold enough to become the first Silicon Valley company -- IPO since the FaceBook to -- the answer.
Is a company called service now this is a cloud computing office suite company that helps people put forth better IT solutions and so far.
It's been pretty smooth sailing shares are up more than 33%.
From its IPO price compared to FaceBook which is below its IPO price.
Joining us now when a Fox Business exclusive from Mountain View California frank -- he's the CEO and president of surfaced now are right.
-- you know some argue you were pretty darn brave friend buy it by getting out there just 42 days after.
The real IPO flop that was FaceBook and saying not only am I going to IPO my company.
But I'm also gonna use the same underwriter Morgan Stanley.
I first want to know what those 41 days were like can advance of the actual -- that service now started trading -- nervous.
That we were little bit nervous you know I think it will reduce the too much was made on the had a FaceBook the FaceBook dynamic -- -- -- -- -- in the market place.
They're quite frankly we were much more concerned with the the macro doubtless sort of hanging over the marketplace we felt we could get a deal done -- -- does the Facebook's on the London have been Korea's.
But everywhere are going to get caught in a downdraft was that triggered by an event tonight in the macro -- would have been you know very troublesome.
Form offering up like this.
It's also wouldn't want mistrial agree collection will way to -- not to clear and and then we we sell off in the -- -- -- OK so you held -- for the Greek election but not for all of the negative sentiment that was out there after FaceBook although it was interesting to see other companies scattered.
They turned tail faster.
-- said forget it we're not launching our IPO and -- kind of expected to.
They can't Palo Alto networks and -- using those names because they're sort of in that.
Silicon valley's technology.
To -- you know but -- social media world.
So let's talk then about the actual underwriters the ones who bring it to market that was Morgan Stanley.
So I -- for -- long history but with Morgan Stanley there were -- And book runner on our our previous some IPOs roles during a secondary.
I think it also helped out we have been through -- several of these offerings before so maybe a little bit more confidence come from the get introduced process and one -- one.
Difference that's really -- to me is that you listed on the New York Stock Exchange vs the NASDAQ why did you make that choice and I'm assuming you made it way before the NASDAQ had troubles getting the FaceBook IPO market.
Yeah out of son -- that's correct and in room we've -- a really had no facto hallmark choice.
No we think double -- now stick a new your stock exchange -- do a really good job and and and are part company did go public on Mastec.
We are a relationship with New York Stock Exchange -- the president as a major prominent customer marsh which really sort of -- us down that path when we like -- people.
Until it's been -- really good choice force.
OK let's move on from that talk about the business because obviously your stock is doing well when you're doing what we can put up some of your clients on the screen but in essence.
When you do what you do which is provide these cloud computing services to help people automate their IT operations.
Businesslike out there and we hear from a lot of business people say it's -- cold atmosphere because of the administration and -- It's a tough economy we know many of those perceptions.
Are realities for certain companies but what's it like for you guys -- service now.
It's it's been spent quite quite strong we we've we've doubled our -- -- more than doubled our business for four Ager -- grow and you know our our.
Or circumstances -- much more dictated by the specifics of our offering and what we bring to market and then any macro circumstance where world so we know really not big enough to really try to hide behind a macro Alyssa.
As something -- work against us in terms of our business so.
I think the -- -- all terrorists is sober but it's all of you people are not are not you know cowering in their foxholes and waiting for -- to be over people are buying products and services up there.
You came from the venture capital world you've also been of some other companies.
Is there ever a time not to start a company mean as an entrepreneurial spirited kind of guy.
Do you feel that any time is the time to start a company.
Well didn't anytime is is is as good time as anybody is actually better time London -- -- chips are down to start a company that is similar access -- talent you better access to capital.
Done when things are are are riding high -- -- that becomes a real problem and and so on himself.
Thank -- to start a company at almost any time and I think history shows that.
She's -- have the -- good for you frank good to see you.
Stimulus thank you frank.
