E-commerce firm Global-e valued at nearly $3.6 bln in Nasdaq debut

Global-E Online

12/05/2021 17:38

By Niket  Nishant
    May 12 (Reuters) - Shares of Global-e Online Ltd  GLBE.O 
rose as much as 1% in their Nasdaq debut on Wednesday, giving
the cross-border e-commerce platform a market capitalization of
nearly $3.6 billion. 
    The Israel-based company's stock opened at $24.25, down from
the initial public offering (IPO) price of $25 per share, but
later recovered to trade higher.
    Launched in 2013, Global-e provides a platform to hundreds
of brands and retailers across Europe, the United States and
Asia. Its customers include Anastasia Beverly Hills, Marc Jacobs
and Pepe Jeans.
    The company was co-founded by Amir Schlachet, who served for
11 years in the Israeli Defense Forces, and counts DHL, Apax
Partners, Red Dot Capital Partners and Vitruvian Partners among
its investors.
    The boom in online shopping during the pandemic has lifted
the appeal of e-commerce startups, which have ridden investor
optimism to rich valuations.
    "The vast majority of the acceleration in growth that the
pandemic brought on is structural and is here to stay,"
Schlachet said in an interview.
    Special purpose acquisition companies (SPACs), which are
shell companies that merge with a private firm to take it
public, have also helped fuel the record run in U.S. capital
markets. 
    But Schlachet said Global-e realized early that the
traditional "king's route" would be the right thing for the
company, referring to the IPO path.
    Global-e will initially focus on expanding in its existing
markets and will also look for acquisition opportunities in the
future, which was partly the reason for the IPO, Schlachet said.
    The company raised $375 million in its IPO by selling 15
million shares at the top end of the $23 to $25 target range.
 urn:newsml:reuters.com:*:nGNX36cw5l
    Goldman Sachs, Morgan Stanley and Jefferies were the lead
underwriters for the offering.

 (Reporting by Noor Zainab Hussain and Niket Nishant in
Bengaluru; Editing by Aditya Soni)
 ((Niket.Nishant@thomsonreuters.com;))