Unity Software Soars in Stock Market DebutSeptember 21, 2020
Shares of Unity Software (U) – Get Report, a developer of a widely used game development engine, soared Friday in their first day of trading on the New York Stock Exchange.
The stock at last check traded at $69.51, up 33.67% from its initial public offering price of $52. Shares opened Friday at $75.
The IPO raised $1.3 billion after the 25 million offered shares were priced at the top of the expected range. The IPO values Unity at $13.7 billion.
The company, which is well known in the gaming industry but less known in the investment world, more recently has been expanding its efforts beyond gaming platforms, focusing on interactive 3D media.
“As of June 30, we had approximately 1.5 million monthly active creators in over 190 countries and territories worldwide,” the company said in its prospectus. “The applications developed by these creators were downloaded over 3 billion times per month in 2019 on over 1.5 billion unique devices.”
Unity’s stock listing comes during a busy week for tech IPOs, particularly from data storage and management company Snowflake (SNOW) – Get Report, which had the biggest IPO for a software company on record: $3.36 billion. That also represents the largest U.S. IPO this year.
Development operations platform JFrog (FROG) – Get Report and application monitoring firm Sumo Logic (SUMO) – Get Report also had strong trading debuts this week.
Snowflake soared as much as 166% in its stock market debut, reaching a high of $319 on Wednesday. It debuted at $245 on Wednesday, well above its already increased initial public offering price of $120 a share.
But it gave back 11% Thursday and recently traded at $224.67, down 1.26% from Thursday.