ExactTarget, a provider of software tools for businesses to run e-mail marketing campaigns, has withdrawn its $86 million initial public offering bid after closing $70 million in capital today. The company says the money will be used to open offices overseas and extend its reach in text messaging and social networking. ExactTarget says it has not fully canceled plans to go public — first filed in December 2007 — but has postponed them indefinitely.
Indianapolis-based ExactTarget counts CareerBuilder, Expedia and Gannett among its major clients. It also remains seemingly untouched by the economic downturn, reporting a 40 percent jump in revenue for last quarter and continuing its three-year streak of profitability. Deferring its IPO dreams will actually give the company greater flexibility and position it better for a sale in the future.
Battery Ventures, Scale Venture Partners, and Montagu Newhall provided the recent round of capital.