Fiverr shares jump at start of trade in New York

Israel-based online freelance service raises $111 million, valuing the company at $650 million

Shoshanna Solomon is The Times of Israel's Startups and Business reporter

Fiverr employees at work in its Tel Aviv offices, August 6, 2017 (Shoshanna Solomon/Times of Israel)
Fiverr employees at work in its Tel Aviv offices, August 6, 2017 (Shoshanna Solomon/Times of Israel)

Fiverr International Ltd. shares jumped at the start of trade on the New York Stock Exchange on Thursday, with the Israel-based online freelance service firm raising $111 million, putting it a value of $650 million.

Shares opened at $26.00 each on the exchange, or 23.8% above pricing at the initial public offering, according to Yahoo! Finance.

The company announced Thursday the pricing of its initial public offering of 5,263,158 ordinary shares at a public offering price of $21.00 per share. The underwriters of the offering will also have a 30-day option to purchase up to an additional 789,473 ordinary shares from Fiverr at the initial public offering price, Fiverr said in a  statement.

The shares are trading under the ticker symbol FVRR.

The firm filed a registration statement with the US Securities and Exchange Commission (SEC) in May for a proposed initial public offering of shares on the New York Stock Exchange.

In 2018, Fiverr posted revenue of $75.5 million, compared to revenue of $52.1 million in 2017, and a net loss of $36.1 million for 2018 compared to a net loss of $19.3 million in 2017, the company said.

The startup was founded in 2010 by Shai Wininger and Micha Kaufman. Wininger has since set up the digital insurance company Lemonade.

To date, the startup has raised a total of $111 million from investors including Qumra Capital, an Israeli VC, Bessemer Venture Partners, Square Peg Capital and Access Venture Capital and Cubit Investments.

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