Wish falls in IPO debut after raising price for its shares [San Francisco Chronicle]
Dec. 16 Shares of the company behind Wish, an e-commerce app known for selling inexpensive goods from China, fell as much as 12% on its first day of trading.
ContextLogic, which trades as WISH, saw its shares begin trading at $22.75 on the Nasdaq Wednesday, below the price of $24 set on Tuesday. The poor performance threatens to slow down the roaring season for inital public offerings that saw the trading debuts of Airbnb and Doordash soar on the stock exchange.
The company, which is more commonly referred to by the name of its app, raised $1.1 billion by selling 46 million shares. The debut leaves Wish worth billions less than the valuation it sought.
Wish falls 16% in IPO debut after raising price for its shares [San Francisco Chronicle]
Dec. 17 Shares of the company behind Wish, an e-commerce app known for selling inexpensive goods from China, fell 16% on its first day of trading.
ContextLogic, which trades as WISH, saw its shares begin trading at $22.75 on the Nasdaq on Wednesday below the price of $24 set on Tuesday. The stock closed at $20.05. The poor performance threatened to slow down the roaring season for initial public offerings that saw Airbnb and DoorDash soar in their debuts on the stock exchange.
The company, which is more commonly referred to by the name of its app, raised $1.1 billion by selling 46 million shares. The debut leaves Wish worth billions less than the valuation it sought.
Shares of
ContextLogic, which does business as the e-commerce site Wish, dropped 16% in its first day of trading on Wednesday. The stock didn’t trade above its $24 initial public offering price, making it a broken deal.
According to the prospectus for the IPO, the San Francisco start-up connects more than 100 million active users a month, in more than 100 countries, to 500,000 merchants selling 150 million items. Most of Wish’s merchants are based in China, and they typically sell unbranded products at a discount such as T-shirts ($2.20), masks ($2.60), or teeth whitening gel pens ($3). Wish reportedly takes 15% of each transaction.
Late Tuesday, Wish (ticker: WISH) raised $1.1 billion after pricing its deal at the top of its expected range. The e-commerce retailer sold 46 million shares at $24 each, the upper edge of its $22 to $24 range. Underwriters on the deal include
Wish falls 16% in IPO debut after raising price for its shares
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PARIS, FRANCE - APRIL 05: In this photo iIllustration, the logo of the online e-commerce company Wish is displayed on the screen of an iPhone in front of a computer screen showing the Wish website home page on April 05, 2019 in Paris, France. Wish is founChesnot / Getty Images 2019
Shares of the company behind Wish, an e-commerce app known for selling inexpensive goods from China, fell 16% on its first day of trading.
ContextLogic, which trades as WISH, saw its shares begin trading at $22.75 on the Nasdaq on Wednesday below the price of $24 set on Tuesday. The stock closed at $20.05. The poor performance threatened to slow down the roaring season for initial public offerings that saw Airbnb and DoorDash soar in their debuts on the stock exchange.