Ibotta, a digital marketing platform backed by Walmart Inc., experienced a robust start in trading on Thursday, with its stock soaring 27% after its initial public offering (IPO) was priced at $88 per share, surpassing its proposed price range by $4.
The company provides a platform for consumer packaged goods companies to offer promotions to customers through a network of publishers.
In its IPO, Ibotta sold a total of 6.56 million shares, raising $577 million and achieving a valuation of $2.7 billion. 
Trading under the ticker “IBTA” on the New York Stock Exchange, the stock is listed by lead underwriters Goldman Sachs, Citigroup, and BofA Securities, among a team of nine banks involved in the deal.
Ibotta’s capital structure includes two classes of stock: Class A and Class B, with the latter carrying 20 votes per share compared to the former’s one vote. Founder, Chief Executive, and President Bryan Leach, along with associated entities, retain approximately 69.7% of voting rights.
In 2023, Ibotta reported net income of $38.1 million, marking a significant turnaround from the $54.9 million loss in 2022. Revenue also saw substantial growth, climbing to $320.0 million from $210.7 million.
In a letter included in the filing documents, Leach shared his inspiration for Ibotta, which stemmed from observing a woman on a plane from Brazil taking a photo of her receipts for expense reimbursement. This prompted him to envision leveraging receipt data to transform promotions and advertisements.
The IPO of Ibotta coincides with a bullish period for the Renaissance IPO ETF, which has gained 9% year-to-date, while the S&P 500 has seen a 5% increase.
