Allbirds stock had a strong showing in its first day of trading.
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Allbirds
got a running start in its first day as a public company. The maker of sustainable shoes saw its shares soar nearly 84% from its IPO price on Wednesday.
Roughly a dozen companies are expected to go public this week, including the personal finance site NerdWallet, health and wellness food firm The
Real Good Food Company
,
and biotech
MDxHealth SA
.
On Monday
LianBio
(ticker: LIAN), a Chinese biotech, opened for trading, and shares dropped 14% from its $16 IPO price. Claros Mortgage Trust, a commercial mortgage real estate investment trust, was Wednesday’s other initial public offering, but didn’t fare as well as Allbirds.
Allbirds
stock (BIRD) kicked off at $21.21 and hit a high of $32.44. In afternoon trading, the stock recently changed hands at $27.57, up $12.57 from its offer price. At recent levels, Allbirds’ valuation is $3.9 billion.
“We’re thrilled to be going public now. We think of ourselves as a next-generation company that’s built for the long term. It’s an exciting time to enter the public markets,” Michael Bufano, Allbirds chief financial officer, told Barron’s.
The strong debut came after Allbirds raised nearly $303 million late Tuesday. The company had planned on offering 19.2 million shares at $12 to $14 each, but ended up selling about 20.2 million shares at $15 each.
Founded in 2015, Allbirds uses renewable, natural materials to make its footwear. The company’s wool runner sneakers, which it calls the most comfortable shoe in the world, are made with sustainably sourced merino wool. The company’s SweetFoam sole technology, which is found in all of its shoes, uses carbon-negative green ethylene-vinyl acetate.
The…
Read More: Allbirds Stock Races Higher in Market Debut