By Liana B. Baker

(Reuters) - Adaptive Insights Inc, a U.S. company that provides financial management software, has hired investment bank Morgan Stanley (MS.N) to lead an initial public offering that could come later this year, according to people familiar with the matter.

A spokeswoman for Adaptive Insights, which is based in Palo Alto, said in a statement, that "we continually evaluate opportunities, including financing opportunities like a public offering. But we do not comment on our future financing plans."

Morgan Stanley declined to comment.

Adaptive Insights was founded in 2003 by Robert Hull, previously a chief financial officer at several companies, who wanted to create better software for CFOs to use. It is one of the many enterprise software firms looking to replace spreadsheets and disrupt how corporations keep track of budgeting, forecasting reporting and analytics.

Adaptive Insights was valued at roughly $500 million in its last fundraising round in 2015, according to incorporation documents. The company is hoping the IPO will value it at more than $600 million, the sources said, asking not to be named because the matter is private.

The company said in December it had reached $100 million in annual revenue for the trailing 12 months.

While enterprise software IPOs are less flashy than Internet IPOs, the sector accounts for a big chunk of venture capital funding and of the technology IPO market.

Salesforce.com (CRM.N) is an investor in the company, along with Bessemer Ventures and Norwest Venture Partners. The company also raised $75 million in 2015, putting its total fundraising amount at about $176 million.

(Reporting by Liana B. Baker in San Francisco; Editing by David Gregorio)