Groupon IPO: $700 million in stock sold
Groupon made its stock market debut this morning, and Groupon’s IPO is the biggest tech IPO since Google’s debut.
NPR reports that Groupon’s IPO has resulted in the sale of $700 million in stock. Upon its debut, Groupon’s stock quickly jumped from $20 a share to $28 a share. This 40 percent leap resulted in Groupon CEO Andrew Mason’s worth hitting $1.3 billion and the company’s worth hitting $18 billion.
Groupon is the latest tech-related company to file for an IPO in 2011. LinkedIn and Pandora preceded it.
“Wired” writer Tim Carmody weighed in on Groupon’s IPO, saying, “The worry for Groupon investors is that Google or some other giant squashes it like Microsoft squashed Netscape. Part of the problem of building a customer base filled with people scouring for the best deals is that they’re always looking for a better one. This is also a problem for retailers, who are hoping to use Groupon to generate repeat business; it doesn’t work if Groupon users just move on to the next deal.”
As we reported earlier, Google recently launched its own daily deals service, Google Offers.