According to Stratistics MRC, the Global Identity & Access Management market is projected to grow 15% annually to $20.87 billion by the year 2022 from $7.94 billion in 2016 driven by the increased focus on compliance management, along with the growing adoption of Internet of Things (IOT), Bring Your Own Device, and connected devices among organizations. Denver, Colorado-based Ping Identity was named a Leader in Gartner 2017 Magic Quadrant for Access Management. Here is a quick insight into the company’s performance so far.

Ping Identity’s Financials

Ping Identity was founded in 2002 by serial entrepreneurs Andre Durand and Bryan Field-Elliot. The seed for Ping Identity was planted when several technology companies created an alliance called the Liberty Alliance to standardize identity. Initially, Ping Identity developed the first open source toolkit and libraries to implement the protocols of the Liberty Alliance. These foundation principles were used to release its first standalone commercial server, Ping Federate, in 2005. The platform was built because the founders realized that while one could integrate all the applications sold by CA, IBM, or SAP and have a single sign on inside of those stacks, there was not a single sign on available between the products. Ping Identity took upon it the task of building a service that would provide secure access to any application from any device.

Ping Identity earns revenues on a subscription-based model. It is privately held and does not disclose its detailed financials. Analysts estimate that the company was that while one could integrate all the applications sold by CA, IBM, or SAP and have a single sign on inside of those stacks, there was not a single sign on available between the products. Revenues in 2017 are estimated at $140 million.

Till two years ago, Ping Identity was venture funded. It had raised $128 million from investors including General Catalyst Partners, Fidelity Ventures, Appian Ventures, W Capital Partners, DFJ Growth, and Kohlberg Kravis Roberts & Co. In 2016, the company was acquired by Vista Equity Partners for an estimated $600 million. Its more recent valuation is not known. But, for comparison, rival Okta with fiscal 2017 revenues of $160 million is currently trading at a market capitalization of $3.5 billion. That translates to a revenue multiple of 21.9 times. Okta had listed on the stock markets in March last year. At that multiple, Ping Identity with its $140 million revenue rate will be valued at close to $3 billion.