The largest e-commerce company in South Korea Coupang LLC (CPNG) announced having raised a whopping $4.2 billion from its United States initial public offering held on March 10. Insider sources revealed that the company sold shares at a price above the IPO target price.
This goes down as the largest IPO of the year in the United States stock markets so far.
Initially, the company had targeted an IPO price of between $32 and $34 per share but it sold its shares for $35 apiece in the IPO. This IPO leaves the company with a market value of $60 billion.
Before this IPO Coupang had a market value of $9 billion following the latest financing round it held in 2018. Dating app Bumble Inc. (BMBL) was holding the record of largest U.S IPO this year after it held its $2.15 billion IPO last month.
This IPO comes at a time when investors are rallying behind companies which have benefitted from the pandemic due to movement restrictions. Undoubtedly, e-commerce companies have been experiencing increased online orders during the pandemic.
Analysts in South Korea are terming this IPO as a strategic one since it has come at a time when e-commerce business is soaring and also the South Korea market leader has been registering increased sales since the pandemic set foot.