Paycor shares increase 20% in NASDAQ debut

The human capital firm is valued at $4.8 billion

0
1281

Shares of Paycor, the human capital management company, went up 20 per cent in its Nasdaq debut on July 21. The human capital management firm, which serves small and medium-sized businesses, got a valuation of $4.8 billion.

The over three decade-old firm provides solutions to organisations to manage their human resources, payroll, talent and workforce. It serves organisations with a headcount of 10 to 1,000. As of March 2021, the Company had over 44,000 clients.

While the IPO price was $23, its stock opened at $28 per share. On a fully diluted basis, Paycor is valued at $4.87 billion at the opening price.

The firm managed to raise $425.5 million by selling 18.5 million shares in an initial public offering, with the price of the stock being way more than the initially-targeted $18 to $21 range.

Paycor finds opportunity in the small and medium-sized businesses of the United States, which tend to be ignored or neglected by established large payroll providers.

With job growth finally showing a positive trend in the United States, maximum number of workers landed employment in the last ten months. It is believed that the vaccination drives have contributed to this trend.

The revenue of the Company went up four per cent year-on-year to $264.8 million for the nine-month period that ended in March 2021. However, it also suffered a net loss of $46.2 million during the same period.

Comment on the Article

Please enter your comment!
Please enter your name here

seventeen + 20 =