Insurance technology company Ethos is reportedly exploring an initial public offering (IPO), with the potential listing possibly occurring as soon as this year, according to a Bloomberg report. The company has enlisted Goldman Sachs Group Inc. to advise on the potential offering, although no final decision has been made.
Ethos, based in Austin, Texas, was last valued at $2.7 billion during a funding round led by SoftBank Vision Fund 2 in July 2021. Representatives from both Ethos and Goldman Sachs declined to comment on the matter, as stated in the report.
Led by co-founder and CEO Peter Colis, Ethos reported a 50% year-over-year increase in revenue in 2024. However, the company did not release further details regarding its financial performance. Ethos offers life insurance policies up to $3 million without requiring a medical exam, and its website highlights a streamlined approval process taking approximately 10 minutes.
Investors backing Ethos include SoftBank, General Catalyst, Sequoia Capital, Accel, Roc Nation, and Glade Brook Capital Partners.
Ethos’s potential IPO comes as the U.S. public listing market shows signs of recovery following a period of slowdown. In 2024, 150 companies collectively raised $29.6 billion through IPOs, representing an increase of over 50% compared to the previous year, though still below historical averages. The healthcare and technology sectors were the most active, accounting for 61% of the deals and 49% of the total proceeds from offerings that raised at least $50 million. AI-focused firms, in particular, attracted increased investor interest.
The fourth quarter of 2024 saw a significant surge in IPO proceeds, doubling compared to the same period in 2023. One listing, valued at $1.7 billion, accounted for 30% of the quarter’s total proceeds. Furthermore, IPOs raising at least $50 million recorded an average 30% aftermarket gain. This momentum has continued into 2025: 57 IPO filings have been made so far, representing a 21% increase from the previous year.
Upcoming public offerings include cloud computing firm CoreWeave, which is expected to raise $2.5 billion at a $29 billion valuation, and the online ticket marketplace StubHub, which reported a 29.5% revenue increase in its IPO filing. If Ethos proceeds with a public debut, it would add to the rising number of technology firms capitalizing on investor interest in a rebounding IPO market.
