Following up on our earlier story regarding the Semrush IPO, today is the day that Semrush shares can be purchased on the stock market under the ticker symbol SEMR.
The offering was first priced at $14 per share on Wednesday. This is on the lower end of their expected range, which was $14-$16 per share.
The range of their stock price still values the company at approximately $2 billion. So far, the firm has sold 10 million of its first 16.8 million shares.
The IPO is expected to generate approximately $140 million for Semrush minus expenses. If all overallotment options are exercised, however, that amount would rise to $161 million.
Semrush IPO: What’s Happening?
What’s currently happening with the Semrush IPO? They had a strong start, but have dropped significantly in the time since.
They were previously at the upper end of $14 per share, but have now dropped to approximately $11.01 per share at the time of writing:
With this initial public offering, Semrush gained $140 million and were able to bank it. The market voice, however, says their actual worth is $110 million.
More About the Semrush IPO
From the Business Wire press release:
Other Semrush IPO Facts
This $14-per-share pricing also values the company at around $1.95 billion to $1.99 billion.
The total pricing is also dependent on whether or not underwriters take advantage of overallotment options or not.
Semrush is scheduled to begin fully trading on Thursday on the New York Stock Exchange (NYSE) under the ticker symbol SEMR.
The company wrote in its U.S. Securities and Exchange Commission S-1 filing that “we enable companies globally to identify and reach the right audience for their content, in the right context, and through the right channels.”
They also reported a 2020 net loss of $7 million on approximately $124.9 million of revenues. This helped improve 2019’s $10.2 million of red ink on $92.01 million in sales.
After the IPO, Semrush fell more than 20 percent. Based on the Chief Financial Officer Evgeny Fetisov’s comments to Seeking Alpha, they are not worried. Fetisov explained:
Letter from the Founders of Semrush
The founders of Semrush published a letter today announcing the full initial public offering, in which they described their upcoming plans for the company:
Indeed, Oleg and Dmitiri. We love your vision of the future of internet marketing as a more accessible profession.
We all want to better understand our audience and their key interests as well as how to precisely engineer an SEO campaign to help drive those all-important traffic numbers, rankings and conversions. Luckily, tools like Semrush can help us do just that.