Shares of Farfetch, the London-based luxury online marketplace, jumped more than 50 percent in the company’s initial public offering debut Friday.
Farfetch sold 44.2 million shares Thursday night at $20, raising $885 million and earning a valuation of $6.2 billion on the online giant after factoring in shares already held by employees. The offering represents one of the largest IPOs of the year.
Farfetch priced its initial public offering a buck above its range of $17 to $19 a share, after having already upsized its IPO due to robust demand. The offering opened at $27, posted an intraday high of $30.60 and closed he first day of trading at $28.20.
In its public filing, the company said its customers are growing rapidly, but it still hasn’t made a profit.
“As of June 30, 2018, we had 1,118,047 Active Consumers, up from 796,297 as of June 30, 2017,” the company said. “The number of orders for the six months ended June 30, 2018 was 1,305,297, up from 853,195” during the same period in 2017.
