Shares in wearable fitness gadget maker Fitbit surged 52 per cent in their stock market debut across the pond yesterday, valuing the firm at more than $4.1bn (£2.6bn).
The shares, which are now traded on the New York Stock Exchange under the ticker FIT, were priced at $20 per share for the initial public offering, but soared to $30.40 on market open, valuing the company at more than $4.1bn. Shares closed up 48 per cent at $29.68.
The flotation raised $732m for the company and some of its investors by selling 36.6m shares.
Fitbit, which makes wristbands and watches that track heart rate, calories and step counts, saw revenues soar 175 per cent this year to $745.4m. It reported profit of $131.8m, compared with a loss of $51.6m the previous year.
The company, which counts US President Barack Obama among its fans, said it has an 85 per cent share of the US wearables market.
However, things haven’t gone completely smoothly in the run-up to the float. In May, rival Jawbone filed a lawsuit against the firm, alleging it had stolen information by poaching staff.
It also faces competition from the Apple Watch, which launched earlier this year.