Groupon shares soar, adds $2.7bn in two hours
Price shoots up faster than bosses' champers cork
Groupon's share price shot up almost 40 per cent in its first two hours of trading today.
The daily deals site stock went up to $27.85 by 11am EDT – up from the initial public offering share price of $20 – after nearly hitting $30 earlier in the morning. If the stock stayed there, it would mean the company had gone from being worth $13bn to $15.7bn in two hours.
CEO Andrew Mason can be seen on Twitter celebrating that particular moment with a glass of bubbly, courtesy of Bloomberg West host Emily Chang.
The day so far must be putting him happily in mind of the LinkedIn IPO, in which the social biz network site nearly doubled in value on its first day of trading. LinkedIn's price did even out after that, but currently trades at between $85 and $92, around 90 per cent more than its first price of $45.
Even the $20 price tag for a Groupon share was already a bit more than the company had been hoping for, having priced their shares during the IPO roadshow at between $16 and $18, after a number of delays seemed to dampen enthusiasm for the float.
Markets being what they are, the price is bound to change throughout the day, check back in for updates. ®