Shopify’s rival BigCommerce raises IPO price range, draws investment interest from Tiger Global
Texas-based ecommerce firm BigCommerce has now kept itsInitial Public Offer (IPO) price range between $21 and $23 per share which was earlier announced at $18 - $20 per share.
Having booked a revenue of about $35.8 million in its 2020 Q2 earning, up by 30 per cent year-on-year, the company is now eyeing a valuation between $1.38 billion and $ 1.58 billion. Besides, with the earlier IPO price range, BigCommerce is estimated to be worth between $1.18 billion to $1.31 billion.
As per the trend in other IPOs especially in cloud technology space, the market sentiment has been full of excitement from the investors. Therefore, BigCommerce’s earlier IPO range was underpriced given company’s revenue and margins better than that of its competitor Shopify, according to a report in TechCrunch.
Notably, Tiger Global Management, an investment firm is likely to participate in BigCommerce’s offering and purchase up to 20 per cent of the shares.
Founded in 2003, BigCommerce posted revenue of $120 million in FY 2019-20. The company plans to list itself on NASDAQ.