Video conferencing software Startup Zoom soared high on its first-ever IPO (initial public offering) at NASDAQ. It ended its IPO debut with a market value of under $16 billion, topping Pinterest’s market capitalization of nearly $13 billion.
The San Jose-based company filed its IPO application on the NASDAQ stock market last March and on April 18, the tech company officially went public on NASDAQ. Marketwatch reports the stock was traded as high as $66 on Thursday and ended at $62 on the closing day of the trading. The company priced its IPO at $36 per share, according to reports.
The company raised $356.8 million of fresh funding after selling 9.91 million shares in its IPO debut. In addition to that, the company’s shareholders have also sold another 11 million shares in the market.
About the video conferencing startup, Zoom
Founded in 2011 and based in San Jose, California, Zoom provides remote communication software that combines video conferencing, chat, online meetings and mobile collaborations to remote teams, organizations, and businesses. The company’s technology platform runs across desktops, telephones, mobile devices, and meeting room systems.
Zoom’s investors include some big names in the venture capital world. Sequoia, Emergence Capital, Horizons Ventures, Maven Ventures, AME Cloud Ventures, Qualcomm Ventures, GC Capital, and individual investor Patrick Soon-Shiong.
The company has received over 2.3 million monthly app downloads. The company’s most popular apps are Zoom for Blackberry UEM, Zoom Cloud Meetings and Zoomtopia. The company competes with tech stalwart Cisco Systems, Microsoft and Google.
Before its successful IPO debut, Zoom has managed to raise around $160.5 million in total funding.
The video conferencing startup has first reached its billion dollar valuation on January 2017, where it successfully secured over $110 million in its Series D funding round from top investors Sequoia and Emergence Capital. Zoom is a fast-growing and highly profitable company. Last year, its revenue surged 119 percent, while it’s earned over $7.58 in net income.
Pinterest joins Zoom in the IPO bandwagon
Zoom is not the only US tech company that making a huge noise on NASDAQ. The San Francisco-based social media firm Pinterest is also getting big, surging 28 percent in the first day of its market trading. The social media company started its NYSE (New York Stock Exchange) debut under the ticker name PINS.
Shares of Pinterest began trading at $23.75, up 25 percent from its initial IPO price. The price surge has pushed Pinterest’s market cap nearly $13 billion. Pinterest’s stock continued to climb, hitting $24.40 per share. Zoom and Pinterest are just the latest in the fast-growing numbers of startups that have joined the IPO market. Last month, US transportation network company Lyft made its IPO debut, followed by the software firm PageDuty.
