NEW YORK (AP) — The mum or dad firm of Want, a procuring app that sells low cost clothes, toys and electronics, sputtered…
NEW YORK (AP) — The mum or dad firm of Want, a procuring app that sells low cost clothes, toys and electronics, sputtered in its inventory market debut.
Shares of ContextLogic Inc. fell 12% to $21.05 in afternoon buying and selling Wednesday. The inventory is buying and selling on the Nasdaq Inventory Market below the image “WISH.”
Based a decade in the past, Want positions itself as an reasonably priced different to Amazon and different on-line shops, focusing on customers who make lower than $75,000 a 12 months. Most of what it sells comes immediately from Chinese language retailers, who listing their items on the app. Want mentioned it has 100 million clients around the globe, principally in North America and Europe.
ContextLogic raised $1.1 billion in its preliminary public providing, promoting 46 million shares at $24 apiece, valuing the San Francisco-based firm at extra $16 billion. It plans the use the cash raised to develop its enterprise and should purchase different firms or applied sciences.
It’s been a blockbuster 12 months for IPOs, with a file variety of firms elevating greater than a $1 billion, together with meals supply firm DoorDash and residential rental enterprise Airbnb. In contrast to Want, shares of these firms soared of their debut.
Like different e-commerce firms, Want has benefited in the course of the pandemic as extra folks keep at dwelling and order on-line. Gross sales had been up 33% to $606 million within the June-to-September quarter. Nevertheless it nonetheless misplaced cash, reporting a lack of $99 million.
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