Flywire Corporation, a US-headquartered payment software provider that counts investment banking firm Goldman Sachs among its backers, went public yesterday in a $251m initial public offering.
The company upsized the size of the offering from 8.7 million to 10.44 million shares and priced them at $24.00 each, at the top of the $22 to $24 range it had set.
The shares opened at $34.00 each on their first day of trading on the Nasdaq Global Select Market yesterday and closed at $35.10, giving Flywire a market capitalisation of $3.59bn.
Formerly known as PeerTransfer, Flywire has built a digital payment platform focused on customers in the education, healthcare and travel industries that can integrate with existing enterprise resource planning systems.
The company boosted its revenue 54% year on year to almost $132m in 2020 while cutting its net loss from $20.1m to $11.1m. It had raised $322m in funding as of February this year when it secured $60m from investors including Goldman Sachs, Spark Capital and Temasek.
The 2021 round came after Flywire pulled in $120m through a February 2020 series E round led by Goldman Sachs valuing it at over $1bn, with Tiger Management and Adage Capital Management also participating.
Temasek had led Flywire’s $100m series D in 2018, participating with investment and financial services group Fidelity’s F-Prime Capital vehicle and existing investor Bain Capital Ventures. JME Ventures, Kibo Ventures, Devonshire Investors, QED Investors and Accel are among its earlier backers.
Flywire’s notable investors are Bain Capital Ventures (16.1% post-IPO), Spark Capital (15.7%), Temasek vehicle Ossa Investments (12.2%), F-Prime Capital (7.3%) and Goldman Sachs (7%).
Goldman Sachs, JP Morgan, Citigroup and BofA Securities are lead book-running managers for the offering while Raymond James, RBC Capital Markets and William Blair are book-running managers.
The co-managers for the IPO are Guggenheim Securities, Nomura, AmeriVet Securities, Ramirez, Siebert Williams Shank and Telsey Advisory Group. The underwriters have 30 days to buy almost 1.57 million more shares if they choose, potentially lifting it to $288m.
