Shopify Prices IPO At $17/shr, Above Expected $14-$16 Per Share Range

(RTTNews) - Cloud-based e-commerce platform Shopify Inc. said that it has priced its initial public offering of 7.70 million Class A subordinate voting shares at a price to the public of US$17 per share, which is above the revised estimated range of $14.00 and $16.00 per share.

The Class A subordinate voting shares have been conditionally approved for listing on the New York Stock Exchange, or the NYSE, and the Toronto Stock Exchange, or the TSX, under the symbols "SHOP" and "SH", respectively.

The initial public offering is expected to close on or about May 27, 2015.

Initially, the company had expected to price the offering between $12.00 and $14.00 per Class A subordinate voting share range.

Shopify said today it expects to use the net proceeds from the offering to strengthen its balance sheet, providing it with flexibility to fund its growth strategies.

Morgan Stanley, Credit Suisse and RBC Capital Markets are acting as joint book-running managers for the offering. Pacific Crest Securities, Raymond James & Associates and Canaccord Genuity are acting as co-managers.

Shopify has also granted the underwriters an over-allotment option, exercisable in whole or in part at any time for a period of 30 days following the date hereof, to purchase, in aggregate, up to an additional 1.155 million Class A subordinate voting shares exercisable at U.S.$17 per share.

Shopify is a cloud-based commerce platform designed for small and medium-sized businesses. Merchants can use the software to design, set up and manage their stores across multiple sales channels, including web, mobile, social media, brick-and-mortar locations, and pop-up shops. This provides a merchant a single view of their business. The Shopify platform was engineered for reliability and scale, using enterprise-level technology made available to businesses of all sizes.

Shopify currently powers over 165,000 businesses in approximately 150 countries, including: Tesla Motors, Budweiser, Google, Wikipedia, LA Lakers, GoldieBlox, and many more.