MQ starts trading on Nasdaq
Payment processing firm Marketa’s share price began trading at $ 32.50 after its Nasdaq market debut on Wednesday.
Marqeta valued 45 million shares at $ 27 per share on Tuesday, above the initial target range of $ 20 to $ 24. 4.3 billion.
Marqeta has become one of the hottest companies in digital commerce. He has been nominated twice to the CNBC Disruptor 50 Enterprise and is ranked 7th on this year’s list.
Founded in 2010 and based in Oakland, Calif., Marqeta sells payment technology designed to detect potential fraud and channel money properly. The company issues personalized physical cards such as credit and debit cards. Entrepreneurs DoorDash and Instacart use it for point-of-sale purchases in restaurants and supermarkets.
Marketa revealed in its IPO prospectus that first-quarter annual sales rose 123% to $ 108 million, but net losses fell from $ 14.5 million the year before to 1,280. millions of dollars. It has been reduced. In 2020, annual revenue more than doubled to $ 290.3 million.
The company predicts that the global card payments market will reach $ 45 trillion and reach $ 80 trillion by 2030. Growth will be driven by digital banks and Marketa’s card issuance platform. Brought to you by other online and mobile services to provide your customers with a payment program. Ten years ago, this technology did not exist.
“We created the modern card show,” CEO Jason Gardener told CNBC’s “Squawk Box” before trading began. “Today, the volume of card transactions in the United States is $ 6.7 trillion, but that’s just a small portion of the $ 60 billion area.”
Gardner’s shares are worth around $ 2 billion based on the IPO price.
“Either we support their core business or we become a core business,” Gardner added. “Using Klarna and Affirm, ordering food with apps like DoorDash and Instacart. It actually affects many consumers whether they can or not.”
Marqeta claims to have issued more than 320 million cards to its customers so far. Many of our customers are aging as the pandemic pushes commerce to mobile devices.
In addition to food delivery businesses, Marketa uses Square’s debit cards for small business owners and a popular cash payment app for peer-to-peer payments. Affirm and Klarna provide consumers with small loans to purchase bicycles, televisions and more, and use Marketa’s technology to transfer funds in the form of installment loans.
JPMorgan Chase & Co. and Goldman Sachs were the main underwriters in the sale of Marqeta.
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