قالب وردپرس درنا توس
Home / Business / Affirm Holdings’ US IPO with a price above the target range raised US$1.2B

Affirm Holdings’ US IPO with a price above the target range raised US$1.2B



Affirm Holdings Inc, a US provider of installment payments to online shoppers, said on Wednesday that it sold its initial public offering (IPO) shares for $49 per share, raising a target price of $1.2 billion, which was beyond the target range.

Affirm said it will provide 24.6 million Class A common stocks, which will be traded on the Nasdaq later that day under the ticker symbol “AFRM.”

Click here to start FOX business anytime

Affirm, founded by PayPal Holdings Inc co-founder Max Levchin, plans to sell 24.6 million shares at a target price of US$41

to US$44 per share. The company on Monday raised the issue price from $33 to $38 per share.

The IPO is the largest IPO in the United States so far in 2021, indicating that after experiencing strong growth in 2020, investor demand for new shares remains strong. This is the strongest IPO market in 20 years.

Levchin established Affirm in 2012 to provide most young online shoppers with easy-to-obtain financing, which they pay in monthly installments. For the three months ended September 2020, the company generated $174 million in revenue, an increase of 98% over the previous year. Its net loss narrowed to $15.3 million, compared with $30.7 million in the same period last year. As of June 2020, Affirm’s debt is $1.1 billion.

POSHMARK, OATLEY, PETCO LEAD IPO listing time in 2021

In addition to Levchin, Affirm’s major investors include Peter Thiel’s Founders Fund, venture capital companies Khosla Ventures and Lightspeed Venture Funds, and Canadian e-commerce company ShopifyInc.

Morgan Stanley, Goldman Sachs and Allen & Co. are the main underwriters for the Affirm issuance.

Click here to read more about FOX business

(Reporting by Joshua Franklin in Miami and Chibuike Oguh in New York; additional reporting by Maria Ponnezhath; editing by Chris Reese, Christopher Cushing and Sherry Jacob-Phillips)


Source link