It was a watershed moment for a company regarded as a guiding light in Ottawa’s tech renaissance.
In May, e-commerce company Shopify raised $131 million in its initial public offering. According to the Globe and Mail, the offering was 30 times oversubscribed. About 7.7 million shares were sold for $17 each, up from an initial range of $12 to $14.
The IPO price gave Shopify a market value of $1.27 billion. The stock has continued to trend up with a vengeance, reaching the $35 range in mid-November, for a valuation of more than $2 billion.
The stock got a fresh boost in September, when online retail behemoth Amazon elected to join, rather than attempt to beat, Shopify. The two companies announced a partnership in which Amazon will facilitate the transfer of its e-commerce service merchant clients to Shopify’s platform.
At a gathering of Ottawa’s business community in October, CEO Tobias Lütke said he sees a “massive opportunity” for Ottawa to build fantastic companies, and plans for “Shopify to see the next century.”
Shopify was founded in 2006 to give small retailers a hassle-free platform on which to build a great e-commerce site. Today, merchants use Shopify to manage every aspect of their business, from products to orders to customers, selling online, in retail stores and on the go.
There are 175,000 active Shopify stores around the globe, representing $10 billion worth of sales.