London-based luxury online marketplace Farfetch's shares jumped nearly 50 percent in its market debut Friday.
Farfetch sold 44.2 million shares pricing its initial public offering at $20 per share, above its expected range of $17 to $19 per share. The company raised $885 million giving it a market valuation of $6.2 billion.
The company opened trading on NYSE under the ticker FTCH at $27, making a 35 percent jump. Farfetch's share are currently trading at $29.63, up $9.63 or 48.15%.
Farfetch is a platform where luxury brands like Gucci can sell directly. It connects shoppers to over 700 brands and boutiques internationally and express ships to more than 190 countries. The company was founded in 2008 by José Neves, a Portugese entrepreneur with experience in both luxury and technology.
The global market for personal luxury goods was estimated to be worth $307 billion in 2017, and is expected to reach $446 billion by 2025, according to the Farfetch.
Farfetch generated revenues of $385 million in 2017, a 59 percent jump over the previous year. Farfetch also recorded an after-tax loss of $112 million in 2017, down from a loss of $81 million the previous year.
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