Zillow share price more than doubles in first-day trading
[Update 1: Updates IPO pricing with first-day trading status.]
Shares of real estate site Zillow ($58.46 0%) more than doubled during its Wednesday morning launch as a publicly traded company.
The company priced its initial public offering of 3.46 million shares of common stock at $20 per share on Tuesday afternoon.
The shares began trading Wednesday morning on the NASDAQ stock exchange and hit $44 a share Wednesday morning for a gain of 120%. It rose as as high as $60 per share in morning trading before dipping back down into the $33 price range.
The price set for the IPO debut was higher than its original range of $12 to $14 share, which it raised last week to $16 to $18 per share. At $20, the shares would raise about $69.2 million before underwriting fees and expenses.
Underwriters for the IPO have a 30-day option to purchase up to an additional 519,300 shares of stock to cover over-allotments.
Concurrent with the completion of the initial public offering, Zillow will complete a private placement of 274,999 shares of its common stock, also at $20 per share, to certain existing investors in the Seattle-based real estate firm.
CitiGroup ($51.60 0%) is acting as sole book-running manager for the offering. Allen & Co. LLC is acting as senior co-manager and Pacific Crest Securities, ThinkEquity LLC, and First Washington Corp. are acting as co-managers.
Zillow operates a website that provides information about homes, real estate listings and mortgages.
Write to Kerry Curry.
Follow her on Twitter @communicatorKLC.
Don’t miss out: get HW delivered via email
- Current Chg.
- NASDAQ 3498.97 33.722 ^ixic
- S&P 500 1666.29 -1.18 ^gspc
- Volatility Index 13.02 0.57 ^vix
- KBW Mort. Financial Index 33.14 -0.11 ^mfx
- MSCI US REIT Index 1063.41 1.82 ^rmz