Affirm, which provides installment payments to online consumers, priced its planned initial public offering (IPO) at $49 per share, higher than its marketed range of $41 to $44 per share, and is on track to raise over $1.1 billion, Bloomberg reported. On Wednesday (Jan. 13), the company’s shares began trading above $90 per share.
Affirm, which will be the first major tech listing of the year, boosted its range earlier from $33 to $38 up to $41 to $44, in a filing with the Securities and Exchanges Commission (SEC), saying the company planned to sell 24.6 million shares.
The company had postponed its IPO from December, along with game developer Roblox, the latter of which decided to go with a direct listing instead, Bloomberg reported.
After a tumultuous 2020 in which their funds were roiled by the pandemic, many tech companies ended up getting the ball rolling on IPOs by December, including DoorDash and Airbnb.
Poshmark, an online market for luxury goods, pet supply retailer Petco, mobile game developer Playtika and auto service and supply company Driven are all also ready to go public, Bloomberg reported.
At $44 per share, Affirm would have a market capitalization of $11.9 billion, based on the number shares listed in the filing, according to Bloomberg. The fully diluted value could end up coming out to $15 billion, with options and restricted stock units included.
Affirm was founded in 2012 by PayPal co-founder Max Levchin, who is still the company’s biggest shareholder, with other large owners including Jasmine Ventures, Khosla Ventures, Founders Fund, Lightspeed Venture Partners and Shopify, Bloomberg reported.
PYMNTS reported on Affirm’s goals earlier this week, writing that the company was valued at just under $3 billion in its last private funding round. The company said in November that its revenue as of Sept. 30 had been substantially higher compared to a year prior.
Affirm announced last month that it was partnering with digital home services marketplace HomeAdvisor.
We’re always on the lookout for opportunities to partner with innovators and disruptors.
Learn More