CHIPMAKING startup Cerebras Systems has picked Citigroup as the lead bank on its initial public offering (IPO), according to sources familiar with the matter.

The Silicon Valley company chose the lender after holding discussions with potential advisers on the US listing, the sources said. Cerebras is targeting a listing in the second half of the year at the earliest, and may seek a valuation in the IPO that would value it above the US$4 billion figure achieved in its 2021 funding round, Bloomberg News reported in January.

Details of Cerebras’ offering may change and more advisers will likely be added to the lineup, the sources said, asking not to be identified as the information is confidential. Representatives for Cerebras and Citigroup declined to comment.

Tech IPO successes last month by social media platform Reddit and semiconductor connectivity company Astera Labs have set the stage for more listings. Cloud and data security startup Rubrik, digital marketing software firm Ibotta and commodities dealer Marex Group are among the companies that have all filed in the past two weeks for IPOs.

Cerebras raised US$250 million in a series F financing round in 2021, valuing it at over US$4 billion, according to a statement at the time. The round was led by Alpha Wave Ventures, Abu Dhabi Growth Fund and G42. Cerebras’s existing investors include Altimeter Capital, Benchmark Capital and Coatue Management, the statement showed. BLOOMBERG