Shopify stock soars in New York debut after IPO
Ottawa-based tech stock appeals to investors seeking e-commerce play
The stock price of Ottawa-based startup Shopify soared above $28 in its first day of trading on the New York exchange, after being offered for a listing price of $17.
Shopify sold 7.7 million shares for $17 apiece ahead of the listing, after investors clamoured for shares in the company because of its e-commerce potential,
The IPO price would put Shopify's market value at $1.27 billion.
The auspicious debut is raising hopes among other Canadian tech firms hoping to list to raise capital.
Founder Tobias Lütke sought a new way for small businesses to sell online, when he had snowboards to sell over the internet in 2004.
Today, 165,000 stores use Shopify. The company had a net loss of $22.3 million in 2014.
At the close of trading, the stock was trading at $25.71 US, 51 per cent above its issue price.