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Shares of online clothing retailer Poshmark up more than 130% in the company’s market debut on Thursday.
The shares began trading at $ 97.50 per share. On Wednesday, Poshmark priced its IPO at $ 42 a share, giving it an initial valuation of over $ 3 billion.
The company previously said it expected to sell shares for between $ 35 and $ 39. He was valued at nearly $ 600 million in his last round, a D series in November 2017.
Poshmark, founded in 2011, is an internet marketplace for used footwear and clothing accessories. Like eBay and Etsy, Poshmark connects buyers with sellers, who often list items in their own closet. Poshmark makes money by reducing every transaction.
The company goes public at a time when the 2021 IPO market is heating up. Payment company Affirm rose almost 100% when it hit the market on Wednesday. Pet distributor Petco Health and Wellness and online gaming company Playtika are also scheduled to go public on Thursday.
Poshmark went public in December. In the IPO leaflet, Poshmark said it had benefited from a flood of demand generated by coronavirus, as home-based shoppers continue to turn to online retailers for essential and non-essential goods. The market served as a source of additional revenue for Poshmark’s 4.5 million sellers, the company said.
Poshmark brought in $ 192.8 million in the first three quarters of 2020, up 28% from the same period last year, according to S-1. The company also revealed that it made a profit of $ 20.9 million during this period, after losing $ 33.9 million a year ago.
The company now has 6.2 million active buyers and 31.7 million active users, most of whom are female and either millennial or Gen Z. List Amazon, eBay, Etsy, Facebook, Shopify, TJ Maxx and Walmart among its competitors.
Morgan Stanley and Goldman Sachs lead the bid.