The share of the business chat app Slack on Thursday increased by more than 52 percent to 39.64 dollars (35.11 euros). The share opened at $ 38.50, while the target price was set at $ 26.
Slack Technologies, based in San Francisco, makes a business communication program of the same name. Employees of companies can chat with each other with the software of the program and have replaced email at some companies. The program is used by 600,000 companies.
Slack uses an unusual IPO. Slack uses a so-called direct quotation. Normally, companies that go to the stock market hire investment bankers who analyze, value and sell the company to the market. For example, those investment bankers also gauge the demand for the share from major investors in the market.
Slack has decided not to use these expensive procedures. The shareholders of the company sell the shares directly on the stock exchange. The target price was 26 dollars (23 euros) each. This puts the share at $ 16 billion.