Max Levchin's Affirm aims for over US$10b valuation in IPO

[BENGALURU] Lending startup Affirm Holdings is aiming for a valuation of more than US$10 billion in its stock market launch after an upward revision in price range, signaling a busy initial public offering season for the US capital markets.

Affirm, founded by PayPal Holdings co-founder Max Levchin, plans to sell 24.6 million shares priced at between US$41 and US$44 each, raising as much as US$1.08 billion from the sale, it said on Monday. The company had earlier planned to price its shares, to be listed on Nasdaq under the ticker 'AFRM', between US$33 and US$38 each.

Levchin started Affirm in 2012 to give people without credit history or savings accounts access to small loans. The startup offers easy financing, for online purchases such as a couch or guitar, that can be paid back in monthly installments.

Affirm was valued short of US$3 billion in its last private funding round, according to PitchBook.

The company's major investors include Peter Thiel's Founders Fund, Singaporean sovereign wealth fund GIC, Scottish asset manager Baillie Gifford, venture capital firm Spark Capital and Fidelity Management and Research Company LLC.

REUTERS

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