Coupang said in a statement that it had priced 130 million shares sold in the IPO at $35 per share, higher than the marketing range $32-$34 per share, giving Seoul-headquartered e-commerce giant, which is backed by Japan’s SoftBank Group Corp , a market value of $60 billion.
Coupang’s successful share offering comes as the U.S. IPO market is at its strongest in more than two decades and investors are flocking to buy shares in technology companies that have benefited during the COVID-19 pandemic.
The IPO is the biggest in the United States this year, surpassing the $2.15 billion raised by dating app Bumble Inc . It also marks a jump in Coupang’s valuation, which was pegged at $9 billion in a fundraising round in 2018, according to Pitchbook.
Analysts in South Korea said the strong response to Coupang’s offering was a result of its market-leader position in the country at a time when, like many other e-commerce firms, its sales have grown due to the COVID-19 pandemic.
“Considering the high level of valuation inherent in the pricing, the market is giving a generous assessment of the company’s achieving the top spot in market share,” said Park Sang-joon, analyst at Kiwoom Securities.
Coupang was the top-ranked South Korean e-commerce firm in 2020 with 19.2%…