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Walmart-backed Ibotta shares surge 33% in strong market debut

Published 04/18/2024, 12:58 PM
Updated 04/18/2024, 01:42 PM
© Reuters. FILE PHOTO: A street sign for Wall Street is seen outside the New York Stock Exchange (NYSE) in New York City, New York, U.S., July 19, 2021. REUTERS/Andrew Kelly/File Photo
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By Jaiveer Shekhawat and Sri Hari N S

(Reuters) -Shares of digital marketing firm Ibotta soared 33% on their debut on the New York Stock Exchange on Thursday, giving the Walmart-backed company a market valuation of $3.55 billion.

Ibotta sold 6.6 million shares at $88 apiece in its initial public offering (IPO), raising $577.3 million. Its earlier price range was $76-$84 apiece.

Tech offerings are leading the charge as the U.S. IPO market rebounds in 2024, after a sluggish two years, fueled by hopes of a soft landing in the economy.

Ibotta's stellar listing follows successful debuts by social media platform Reddit and chip firm Astera Labs.

"We're going to use the proceeds of the IPO to build out the AI-enabled technology, so that it's ... the most sophisticated way to promote a product digitally in the world. So that it is, richer set of capabilities for our advertisers, who want to be able to reach large audiences," Ibotta CEO Bryan Leach told Reuters in an interview.

© Reuters. FILE PHOTO: A street sign for Wall Street is seen outside the New York Stock Exchange (NYSE) in New York City, New York, U.S., July 19, 2021. REUTERS/Andrew Kelly/File Photo

Leach will hold about 69.7% of the total voting power in the company post-IPO.

Ibotta provides a platform for consumer brands to deliver promotions to customers and offer cash-back rewards on their everyday purchases.

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