Categories Earnings, LATEST

IPO: Farfetch fetches further flair for fantastic finesse

For Farfetch (FTCH), this Friday was a dream debut as the online luxury retailer saw itself valued at a whopping $5.8 billion. This also underlines how e-commerce has taken over the traditional retail methods – an undeniable truth that Amazon (AMZN) is proving time and again.

It needs to be noted that the 10-year old Farfetch site is home to a number of international high-end brands but carries no inventory — something the internet has gifted us.

On the NYSE on Friday, Farfetch shares were trading as high as 39% more than its IPO price at $20 a share. This was after the company raised its expected IPO price from the $17-$19 range.

 

Farfetch IPO values luxury retailer at $5.8 billion
Farfetch has its own app called the FarfetchOS (Source: Farfetch Media)

With the IPO, the company looks to issue 33.6 million shares, with existing stockholders selling about 10.6 million. The IPO, thus, values the company at $5.8 billion. Including employee share options, this can be estimated to rise to $6.3 billion.

However, it would be amusing to note that Farfetch has yet to turn to profit, even as it posted a 59% jump in top line to $386 million the past year.

Most Popular

What to look for when CVS Health (CVS) reports Q3 earnings

Healthcare company CVS Health Corporation (NYSE: CVS) is all set to report earnings next week, with Wall Street expecting a mixed outcome. The company has been facing challenges in certain

eBay (EBAY): A few factors that helped drive growth in Q3 2024

Shares of eBay Inc. (NASDAQ: EBAY) stayed green on Friday. The stock has gained 32% year-to-date. The ecommerce leader delivered revenue and earnings growth for the third quarter of 2024,

CVX Earnings: Chevron reports lower revenue and profit for Q3 2024

Energy exploration company Chevron Corporation (NYSE: CVX) on Friday announced third-quarter 2024 financial results, reporting a decline in net profit and revenues. Net income attributable to Chevron Corporation dropped to

Tags

Add Comment
Loading...
Cancel
Viewing Highlight
Loading...
Highlight
Close
Top