If timing is everything, Bill.com (NYSE:BILL) nailed it.
The payments and software provider completed its initial public offering (IPO) today on the New York Stock Exchange (NYSE). Bill.com floated 9.8 million shares at $22 each – raising over $210 million, but the price opened up far higher ending the day at $35.50 – or more than 60% higher. While some pundits will say Bill.com left money on the table – I argue the pricing was solid as you want and need the price to rise out of the gate. Bill.com also happened to pick the day when a trade deal with China was announced (kind of) as beta kicked in bringing the entire market higher.
The Bill.com offering was managed by Goldman Sachs & Co. LLC, BofA Securities and Jefferies LLC as the lead book-running managers for the offering. KeyBanc Capital Markets Inc. joined as book-running manager. Canaccord Genuity LLC, Needham & Company, LLC, and William Blair & Company, L.L.C. participated as co-managers.
While some IPOs of late have flopped (Hello Uber), Bill.com brought some Holiday levity to the markets.
As the shares hit the big board, Bill.com reps emailed over the following data points for the firm:
Latest Company Facts:
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$70B moved annually
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Millions of customers pay and get paid with Bill.com
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45M documents processed annually
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8,000+ customer messages/day through electronic collaboration and exchange
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$2.4M+ bills per month approved by customers
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500+ employees with offices in Palo Alto, California and Houston, Texas
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Investors: Franklin Templeton, JPMorgan Chase, New Enterprise Associates, Union Square Ventures, Temasek, August Capital, Venrock, Pelion Venture Partners, Greenspring Associates, CapitalG (Google Capital), Microsoft, Baidu, Qualcomm, Fidelity, Scale Ventures, Napier Park, DCM, Icon Ventures, Emergence Capital, Silicon Valley Bank and American Express.
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Bill.com customers include: Spikeball, Wild Friends Food, O&M, Niche, Lindsey Leasing
Bill.com notes that research indicates that 90% percent of surveyed U.S. businesses still rely on paper checks (really? wow) and other manual processes to run their business. That’s where they step in. Bill.com digitize the payment/management process. Payments and transfers can be managed in just about every country you would want to do business in.
So it seems Bill.com is heading in the right direction.
