(Reuters) -Brazilian digital lender Nubank’s shares opened 25% above the offer price in their stock market debut on Thursday, giving the company a valuation of nearly $52 billion.
The company’s stock opened at $11.25 per share, compared with the initial public offering price of $9 per share.
The Sao Paulo-based fintech, backed by Warren Buffett’s Berkshire Hathaway Inc, is one of the most high-profile firms in the Latin American region, where an internet boom and a pandemic-induced shift to digital spending has accelerated the growth of such companies.
However, Nubank had to lower its targeted valuation and proceeds late last month, due to concerns a global rout in technology stocks could weigh on investor sentiment.
On Wednesday, Nubank priced its IPO at the top end of a range it had lowered earlier, to raise nearly $2.6 billion. The offer was eight times oversubscribed, one source with knowledge of the matter said.
Morgan Stanley, Goldman Sachs & Co, Citigroup and NuInvest are the lead underwriters for the offering.
(Reporting by Niket Nishant in Bengaluru, Carolina Mandl and Tatiana Bautzer in Sao Paulo and Echo Wang in Taos, New Mexico; Editing by Krishna Chandra Eluri)
