European Tech Milestone: LightOn’s Historic GenAI IPO Signals New Era in AI Innovation
In a groundbreaking development for Europe’s technology sector, LightOn has emerged as the continent’s first generative AI startup to launch an Initial Public Offering (IPO) on the Euronext Growth Paris.
Announced on November 8, 2024, this historic move signals a significant shift in Europe’s AI landscape and establishes a new precedent for tech companies in the region.
Laurent Daudet, co-founder and CEO of LightOn, shared the company’s ambitious vision during the Good Morning Business program on BFM Business. The French AI pioneer has set bold targets, including reaching €40 million in sales and achieving a 40% EBITDA margin by 2027.
“Generative AI will radically transform how companies operate,” Daudet stated, highlighting the revolutionary potential of this technology in the global market.
The timing couldn’t be more strategic. As France aims to compete with AI powerhouses like the United States and the United Kingdom, LightOn’s public debut represents a crucial step forward.
The company stands out from its private competitors, such as Mistral and Germany’s DeepL, by offering specialized large language model (LLM) software that serves both businesses and the French government.
Strategic partnerships have played a key role in LightOn’s growth trajectory. The company has secured valuable collaborations with industry giants like Orange Business and Hewlett-Packard Enterprise.
Alexandre Bord, key account director at Orange Business, expressed strong confidence in the partnership, noting, “We have signed several orders worth multiple millions of euros since March.”
Looking ahead, LightOn’s expansion plans are ambitious. The company aims to:
- Open a new office in the Middle East by the end of 2025.
- Achieve approximately €35 million in annual recurring revenue by 2027.
- Invest heavily in technological innovation.
- Expand their engineering and sales teams.
The IPO’s impact extends beyond LightOn’s immediate success. It serves as a potential catalyst for other European tech firms considering public listings and aligns perfectly with President Emmanuel Macron’s vision to boost France’s tech ecosystem.
This development gains additional significance as Google expands its AI hub in France, creating a robust environment for technological advancement.
With shares priced at €10.35 and a company valuation of around €50 million, LightOn’s market debut scheduled for November 26 represents more than just a business milestone. It symbolizes Europe’s growing ambition to establish itself as a major player in the global AI race.
The company’s commitment to international expansion and technological innovation positions it as a key player in shaping Europe’s AI future. As advanced discussions continue with various infrastructure, cloud, and IT services sectors, LightOn appears well-positioned to capitalize on the growing demand for AI solutions across Europe and beyond.
This historic IPO not only highlights France’s technological capabilities but also signals a new chapter in European innovation, potentially paving the way for more tech companies to follow suit in the public markets.