Fidelity bank banner Bayelsa State banner
Mad rush for Snapchat shares as it debuts in the stock market

By News Express on 02/03/2017

Share on facebook Yahoo mail icon Gmail icon Share on Google+

Views: 1,986

•Snapchat co-founders Bobby Murphy (l) and Evan Spiegel (c) rang the opening bell with NYSE presid
•Snapchat co-founders Bobby Murphy (l) and Evan Spiegel (c) rang the opening bell with NYSE presid

 

Shares in Snap, owner of messaging app Snapchat, have begun trading on the US stock market.

In its opening minutes, its price hit $24.48 a share, a jump of about 40%.

The flotation valued the company at $17 a share, or $24bn in all, although Snap has never made a profit.

The firm’s initial public offering (IPO) is the biggest for a US tech firm since Facebook in 2012 and will turn the company’s founders, Evan Spiegel and Bobby Murphy, into multi-billionaires.

Snapchat, which is especially popular with teenagers, allows users to send images and messages which then vanish.

The company’s losses widened last year, and user growth is slowing down in the face of intense competition from larger rivals such as Facebook.

Despite the challenges in converting “cool” into cash, Snap’s valuation is the richest for a US tech flotation since Facebook in 2012.

At the beginning of February Snap’s formal announcement to regulators of its plans revealed that the company had revenue of $404m last year, but made a loss of $515m.

Unlike in most listed companies, people who buy the floated shares in Snap will not get any voting rights.

Some analysts argued the company was overvalued.

“Snap is a promising early stage company with significant opportunity ahead of itself.

“Unfortunately, it is significantly overvalued given the likely scale of its long-term opportunity and the risks associated with executing against that opportunity,” wrote analyst Brian Wieser from Pivotal Research in a note. He gave it a “sell” rating.

Others were more positive.

Before the trading debut, Jordan Hiscott, chief trader at Ayondo Markets, said: “What sets it apart from other messaging apps like WhatsApp for me is the innovative features built into the app’s interface, such as the lenses function.

“A pertinent point in the company’s S1 filing for the IPO is that it doesn’t call itself a messaging service, but a camera company.”

“This seems to be an intentional move to differentiate it from Facebook and Twitter and the success and failure of their respective IPOs, which in my view, is very clever.”

•Credit (except headline): BBC.

 

Source News Express

Posted 02/03/2017 10:00:25 PM

 

Share on facebook Yahoo mail icon Gmail icon Share on Google+


 

CLASSIFIED ADS

REVEALED: 3 natural ways to get stronger erections, last 25 minutes on bed, and increase manhood size without using drugs. Also, Natural Prostrate Enlargement Remedy.. Get In HERE...

 

You may also like...
DSS refuses to vacate Dasuki's house despite court...

Today’s weather outlook as forecast by NiMET

Buhari crowns Obasanjo ‘Father of Open and Distance...

Programmes to discourage examination malpractice still ongoing —...

SERAP seeks Cameroon’s suspension from AU over alleged...

African ministers vote for mass exit from International...

Unveiled: Names of abducted Chibok schoolgirls so far...

SABMiller board paves way for the biggest acquisition...

Exodus hits southern Borno over Boko Haram •75%...

Over 3 million almajiris in Kano — Governor...

RIGHTSView: How to end the insurgency ravaging Northern...

Expect superior performance from me, Gov. Emmanuel tells...

 

Latest News DSS nabs 2 suspected Islamic State commanders in Abuja 2018 Budget: SERAP recommends ICC prosecution of lawmakers over cutting of critical projects Windstorm, Fire Disaster: Buhari weeps in Bauchi nPDP members to attend APC Convention: Baraje 2018 budget: FG to borrow N1.6tn to fund deficit N282.7m UBA fraud: Absence of witness stalls oil marketer’s trial Pharmacists destroy N452m worth of drugs Projects' probe: ICPC makes U-turn, withdraws charge against NDDC boss NERC grants electricity generation, distribution licences to Ariaria Market Absence of judge stalls El-Zakzaky’s trial Over 337 schools to participate in Lagos coding competition Saraki assures Russian investors of conducive business environment

 

Most Read Nigerian female sex addict opens up, says ‘I like it with both men and women’ (352,309 views) NUDE PHOTO OF OMOTOLA JALADE-EKEINDE surfaces online (351,685 views) Shameless Genevieve Nnaji exposes breasts in public (280,252 views) Finally named: The full list of friends of Nigerian female sex addict who prowled Facebook (230,115 views) Igbo scholar disgraces Femi Fani-Kayode •Demolishes claims on Igbo/Yoruba history with facts and figures (209,092 views) OLUMBA OLUMBA OBU (the one who called himself God) IS DEAD (208,795 views) Breaking News: POPULAR REVEREND CONVERTS TO ISLAM in Kaduna (Nigeria) (181,838 views) OBJ’s son reported dead in Lagos plane crash •Names of more victims emerge (163,931 views) THE FINAL DISGRACE: Igbo scholar unleashes more facts about Igbo/Yoruba history, finishes off Femi Fani-Kayode with second article (153,951 views) My wasted years in Olumba Olumba Obu’s Evil Brotherhood (148,640 views) Lagos plane crash: Journalist releases victims’ names (143,857 views) Gunmen kill ASP, 2 other police officers in vain bid to kidnap Rivers PDP chieftain (135,690 views)

 

Categories Advertorials (3) African Press Organisation (81) Art & Literature (50) Business & Economy (3,260) Business Verdict (44) Columnists (868) Complaints & Requests (94) Enterprise & Opportunities (207) Entertainment (505) Features (607) Global Business Monitor (283) International (2,045) Interview (154) Live Commentary (28) Love Matters (124) News (36,375) Opinion (1,004) Pidgin (10) Politics (5,297) Religion (770) Sports (1,552) Stock Watch (30) AMA & Al Jazeera Global Update

 

CBN banner

Firstmobile banner

 

 

NEWS EXPRESS TV

Portugal v Spain 2018

 

APO Group Partner

 

 

CLASSIFIED ADS

GOCOP Accredited Member

GOCOP Accredited member

 

 

Africa Media Agency and Al Jazeera

Advertisement