© Reuters.

(Reuters) – Affirm Holdings Inc, a U.S. provider of installment loans to online shoppers, said on Wednesday it sold shares in its initial public offering (IPO) at $49 apiece, above its target range, to raise $1.2 billion.

Affirm said it offered 24.6 million shares of its Class A common stock, and that shares are due to begin trading on the Nasdaq later in the day under the symbol “AFRM”.

Affirm, founded by PayPal Holdings Inc (NASDAQ:) co-founder Max Levchin, had planned to sell 24.6 million shares at a target price range of between $41 and $44 each. The company had upsized the share offering from a range of $33 to $38 per share on Monday.

The IPO, the largest U.S. listing so far in 2021, signals that investor appetite for new stocks remains robust following a stellar 2020, which was the strongest IPO market in two decades.

Levchin founded Affirm in 2012 to offer easily accessible financing targeted at mostly young online shoppers, who pay back in monthly installments. The company generated revenue of $174 million in three months ended September 2020, up 98% from the previous year. Its net losses narrowed to $15.3 million compared with $30.7 million. As of June 2020, Affirm had $1.1 billion in debt.

Besides Levchin, Affirm’s major investors include Peter Thiel’s Founders Fund, venture capital firms Khosla Ventures and Lightspeed Venture Funds, and Canadian e-commerce firm Shopify (NYSE:) Inc.

Morgan Stanley (NYSE:), Goldman Sachs (NYSE:) and Allen & Co are the lead underwriters for Affirm’s offering.

Disclaimer: Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. All CFDs (stocks, indexes, futures) and Forex prices are not provided by exchanges but rather by market makers, and so prices may not be accurate and may differ from the actual market price, meaning prices are indicative and not appropriate for trading purposes. Therefore Fusion Media doesn`t bear any responsibility for any trading losses you might incur as a result of using this data.

Fusion Media or anyone involved with Fusion Media will not accept any liability for loss or damage as a result of reliance on the information including data, quotes, charts and buy/sell signals contained within this website. Please be fully informed regarding the risks and costs associated with trading the financial markets, it is one of the riskiest investment forms possible.



Source link

Leave a Reply

Your email address will not be published. Required fields are marked *