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(Reuters) – Shares of U.S.-Israeli technology provider JFrog Ltd FROG.O jumped 62% on Wednesday in their Nasdaq debut, after the company raised $509 million in its upsized initial public offering.
The stock opened trading at $71.27 per share, giving the company a valuation of $6.32 billion, compared with the IPO price of $44 per share.
Sunnyvale, California-based JFrog, founded in 2008, develops tools for automating the process of building and maintaining apps and counts Amazon.com Inc AMZN.O, Alphabet Inc-owned Google GOOGL.O and Netflix Inc NFLX.O among its customers.
JFrog’s debut comes in the midst of a massive boom in U.S. capital markets due to a rebound in demand for new listings after the COVID-19 pandemic forced many companies to postpone their plans to go public earlier this year.
Snowflake Inc’s SNOW.N shares more than doubled in value in a volatile debut on the New York Stock Exchange earlier on Wednesday, after the cloud-based data warehouse company raised $3.36 billion in the largest U.S. IPO so far in 2020.
Workplace software maker Asana Inc and Peter-Thiel backed firm Palantir are also seeking to go public this year.
“We talked about an IPO in the summer, but then COVID-19 happened. So we took Q2 to see how the markets react. When our second quarter was great, we decided to go forward with the IPO,” JFrog Chief Executive Officer Shlomi Ben Haim told Reuters.
For the six months ended June 30, the company posted revenue of $69.3 million, up 50.2% from a year earlier. Its net loss was $426,000, compared with $2.1 million a year earlier.
Morgan Stanley, JP Morgan Chase & Co and BofA Securities were the lead underwriters for the IPO.
Reporting by Niket Nishant in Bengaluru; Additional reporting by Madhvi Pokhriyal; Editing by Maju Samuel and Shounak Dasgupta