Databricks in talks to raise capital at $134 billion valuation, The Information reports

Nov 30 (Reuters) – Data analytics firm Databricks is in talks to raise $5 ​billion at a valuation of $134 billion, which ‌is roughly 32 times this year’s expected sales of about $4.‌1 billion, The Information reported on Sunday, citing investor documents and a person familiar with the matter.

Reuters could not immediately verify the report. Databricks declined to comment.

The company has ⁠increased its sales ‌projections at least twice this year, the Information reported, adding that in September, ‍Databricks revised its sales projection from $3.8 billion to $4 billion, before revising it upward again slightly. It now expects ​sales to grow by 55% this year.

At the same ‌time, the company has told investors its gross margin is falling faster than anticipated, to 74% compared to an earlier plan for 77%, due to increasing usage of its AI products, the Information said.

Founded ⁠in 2013, Databricks offers a ​platform that helps users ingest, ​analyze and build AI applications. The company has long been viewed as a leading candidate to go ‍public and ⁠has received numerous investor inquiries.

Databricks has more than 20,000 customers, including payments firm Block, energy giant ⁠Shell and electric vehicle maker Rivian, according to its website.

(‌Reporting by Disha Mishra in Bengaluru; Editing by ‌Edmund Klamann and Diane Craft)