Affirm Holdings Inc. Is Going To Go Public In Traditional IPO
Affirm Holdings Inc was founded by PayPal Holdings Inc co-founder Max Levchin. The company has seen a huge recent uptick announcing revenue for the three months ended Sept. 30 nearly doubled to about $174 million from a year earlier. Net loss narrowed to $15.3 million, from $30.8 million.
Levchin started Affirm in 2012 to give consumers without credit history or savings accounts access to small loans to finance (pay back in monthly installments) online purchases such as a furniture or a musical instruments.
In April 2019, Affirm raised $300 million in a funding round that was led by Thrive Capital and included actor Ashton Kutcher and Guy Oseary’s Sound Ventures.
The company will be listed on the Nasdaq under the symbol ‘AFRM’. It is reported that Morgan Stanley, Goldman Sachs and Allen & Company are the lead underwriters for the offering. It filed for an IPO of up to $100 million (that is a placeholder and expected to change). The round valued Affirm at nearly $3 billion, but the IPO could value it at more than double that figure if already excited early interest accelerates.
Its major investors include Peter Thiel’s venture firm Founders Fund, Singapore’s sovereign wealth fund GIC, Scottish asset manager Baillie Gifford, venture capital firm Spark Capital and Fidelity Management and Research Company LLC.