Payments Company Marqeta Is Valued at $15.4 Billion. Its Shares Start Trading on Wednesday.
Marqeta’s headquarters in Oakland, Calif.
David Paul Morris/Bloomberg
Payments processing company Marqeta has raised more than expected as its initial public offering ended up collecting $1.2 billion.
Late Tuesday, Marqeta sold 45,454,546 shares at $27 each, above its earlier price range of $20 to $24. The increase typically signals strong demand for the stock.
Marqeta had targeted a $10 billion valuation with its IPO. With a fully diluted share count of 568 million, Marqeta is valued at roughly $15.4 billion.
The company is scheduled to trade on the Nasdaq later Wednesday under the ticker symbol MQ. Goldman Sachs and J.P. Morgan are the lead underwriters on the deal.
Founded in 2010, Marqeta provides technology—an application programming interface—that helps companies like Square (SQ), Instacart, and DoorDash (DASH) issue cards, including debit and prepaid, and process payments for their customers. It employs 509 people.
The Covid-19 pandemic, which has accelerated a shift toward digital payments, has helped Marqeta. The company, based in Oakland, Calif., said total processing volume rocketed 177%, to $60.1 billion, in 2020 from $21.7 billion in 2019. It had issued about 320 million cards as of March 31.
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