Uruguay’s cross-border payments company DLocal Ltd (NASDAQ:DLO) shares jumped over 50% in its U.S. initial public offering price (IPO) debut reaching a market capitalization of almost $9.5 billion.
Shares opened at $31, compared to the IPO price of $21. DLocal raised around $92.6 million from the sale of 4.4 million shares in its IPO.DLocal CEO Sebastián Kanovich intended to utilize the IPO proceeds for product addition and geographical expansion.
The company’s merchants include Amazon.com Inc (NASDAQ:AMZN) and Microsoft Corp (NASDAQ:MSFT). DLocal reported revenue of $104 million in 2020, as per Reuters.
What is DLocal
$DLocal Limited(DLO.US)$ focuses on redefining the online cross-border payments experience in emerging markets, enabling global enterprise merchants to get paid (pay-in) and to make payments (pay-out) online in a safe and efficient manner.
Founded in 2016, According to CrunchBase, DLocal has raised a total of $357M in funding over 4 rounds. Its investors include General Atlantic, Tiger Global, D1 Capital Partners, Bond and Alkeon Capital.
Their latest funding was raised on Apr 2, 2021, in which the company raised $150 million at a $5 billion valuation, less than seven months after securing $200 million at a $1.2 billion valuation, which closed last September and made DLocal Uruguay's first unicorn and one of Latin American's highest-valued startups.
According to its prospectus, it enables global merchants to connect with over 600 local payment methods (some of which are financial institutions) across our different geographies. It also processes cross-border payments for global brands such as Amazon, Spotify, GoDaddy and Uber.
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IPO Buzz: Uruguay's first unicorn DLocal will join IPOs of payments companies