The IPO Buzz: Ibotta (IBTA) Prices Recently Upsized IPO at $88 – $4 Above Range

Ibotta (IBTA) priced its IPO at $88.00 – $4.00 above its $76.00-to-$84.00 range – on Wednesday night (April 17, 2024) on 6.56 million shares – the number of shares in the recently  upsized deal’s prospectus. Ibotta’s IPO raised $577.28 million. That price – $88.00 – confirmed the red-hot buzz swirling around the Denver-based digital ad platform’s IPO this week. Goldman Sachs, Citigroup, BofA Securities, Evercore ISI, UBS Investment Bank and Wells Fargo Securities were the joint book-runners. Ibotta’s stock is expected to start trading on Thursday, April 18, 2024, on the New York Stock Exchange. Allocations were expected to be minuscule – except for institutional investors ranked among the  top accounts at Goldman Sachs. Ibotta  says it makes money only when a customer’s product promotion results in a sale. Walmart, Family Dollar (a Dollar Tree subsidiary), Kroger and Shell are among Ibotta’s clients, the prospectus says. “We work directly with over 850 different clients, representing over 2,400 different CPG brands to source exclusive offers as of Dec. 31, 2023,” Ibotta says in the prospectus. “Most of our offers cover products in non-discretionary categories, such as grocery, but we also work with general merchandise manufacturers in categories such as toys, clothing, beauty, electronics, pet, home goods, and sporting goods. Over time, our clients have generally ramped up their spend with us, and they rarely drop off our network. In fact, of our top 100 clients, 96 percent were retained from 2022 to 2023.” Ibotta says its technology platform “uses an Artificial Intelligence (AI)-enabled offer engine that is designed to match and distribute the right offer to the right consumer at the right time.” For the year ended Dec. 31, 2023, Ibotta swung to a profit from a year-earlier loss, according to the prospectus. Ibotta earned net income of $38.1 million on revenue of $320.0 million for 2023, the prospectus shows. (For more information about these companies, please check the IPO Calendar and the individual IPO Profiles found on IPOScoop.com’s website.) Note: Never trade on proposed symbols. They have been known to change and you might buy something on the OTC Bulletin Board.  To see what time the NASDAQ IPOs are expected to trade, please log in to: NASDAQTrader.com then scroll down to IPO Message.  Disclosure: Nobody on the IPOScoop.com staff has a position in any stocks mentioned above, nor do they trade or invest in IPOs. The IPOScoop.com staff does not issue advice, recommendations or opinions.  Disclaimer: A SCOOP Rating (Wall Street Consensus of Opening-day Premiums) is a general consensus taken, at press time, from Wall Street and investment professionals concerning how well an IPO might perform when it starts trading. The SCOOP Rating does not reflect the opinions of anyone associated with IPOScoop.com. The SCOOP ratings should not be taken as investment advice. The rating merely reflects the opinion of the professionals at the time of publication and is subject to last-minute changes due to market conditions, changes in a specific offering and other factors, such as changes in the proposed offering terms and the shifting of investor interest in the IPO. The information offered is taken from sources we believe to be reliable, but we cannot guarantee the accuracy.