Wish begins trading today on NASDAQ. Here’s what you need to know
ContextLogic Inc., the parent company of Wish, the mobile-focused e-commerce platform, priced the shares for its IPO at $24, the top of its proposed range, becoming the third San-Francisco based company to raise more than $1 billion over the past week, following DoorDash and Airbnb Inc.
The company expects to sell 46 million shares at $24 which would push its market cap above $14 billion. Goldman Sachs, JP Morgan, and BofA Securities are the main underwriters and have access to an additional 6.9 million shares.
The company was founded in 2010 by Peter Szulczewski and Danny Zhang; the online shopping website quickly gained attention, adding its decade-long existence more than 100 million users across the globe. According to its prospectus, it "became one of the largest and fastest-growing global e-commerce platforms, connecting more than 100 million monthly active users in over 100 countries to over 500,000 merchants offering approximately 150 million items."
The number of users translated into financial figures and optimistic expectations about the future: "In 2019, global e-commerce was a $3.4 trillion market expected to nearly double to reach $6.3 trillion by 2024. Within e-commerce, mobile is the clear dominant force, comprising 63% of global e-commerce in 2019, and is expected to grow to 71% by 2024." In the first nine months of 2020, Wish reported revenues of $1.75 billion, topping last year's $1.33 billion.
Wish will begin trading today on NASDAQ under the ticker WISH.
Get ready to trade!
Sources: investorplace.com, marketwatch.com, moneyandmarkets.com, seekingalpha.com