Robinhood users can request stock before NYSE

p 1 figs ipo available on robinhood

After a blockbuster 12 months that noticed internet income climb from $110.5 million in 2019 to $263.1 million in 2020 (even because it donated tens of hundreds of scrubs to healthcare employees throughout the nation), direct-to-consumer attire startup Figs will make its market debut on the New York Stock Alternate this week.

And for the primary time, retail traders (business parlance for nonprofessional patrons and sellers) are going to be allowed to attempt to get in on the bottom flooring by asking to buy stock by way of Robinhood before the debut. The funding app simply rolled out IPO Access, a software that lets its users doubtlessly entry shares of firms on the IPO value, in a transfer meant to democratize a facet of investing that historically was unique to rich traders {and professional} merchants.

The corporate is providing 22,500,000 shares of its Class A typical stock at between $16 and $19 per share. That brings Figs a valuation in unicorn territory, at $3.07 billion. The share providing is cut up between Figs’s personal 5,875,000 shares of Class A typical stock and 16,625,000 from these of its largest shareholder, Tulco. Figs isn’t receiving any proceeds from the sale of Tulco’s shares. Moreover, Tulco is providing 3,375,000 shares of Class A typical stock to underwriters who could have a 30-day choice to buy on the IPO value, “much less underwriting reductions and commissions,” in accordance with an organization assertion.

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For novice traders who wish to make the leap into IPOs, Robinhood is providing info and context, together with an organization’s preliminary prospectus, which particulars its enterprise mannequin, administration workforce, and threat elements. In a weblog submit, Robinhood reiterated its personal place on making investing extra honest for everybody: “IPO shares can be very restricted, however all Robinhood prospects get an equal shot at shares no matter order dimension or account worth.”

Figs is anticipated to start buying and selling on the NYSE below the FIGS ticker image later this week.