ZoomInfo founders now billionaires after stock more than doubles in 3-day rally

Discussion in 'Wall St. News' started by guru, Jun 9, 2020.

  1. guru

    guru

    https://markets.businessinsider.com...ch-ipo-trading-debut-become-2020-6-1029292876

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    • ZoomInfo founders Henry Schuck and Kirk Brown became billionaires just days after the company's shares began trading on the Nasdaq exchange, Bloomberg reported Monday.
    • The business-intelligence firm's shares began trading publicly on Thursday at $21 each. Investors flocked to the debut, pushing the stock price as high as $42 before it closed at $34.
    • The stock continued to rally through Friday and Monday, ending Monday's session at $44.69.
    • Schuck holds a 10% stake in ZoomInfo, while Brown owns 7.3% of the company.
    • Watch ZoomInfo trade live here.
    ZoomInfo's three-day stock surge turned founders Henry Schuck and Kirk Brown into billionaires, Bloombergreported Monday.

    The business-intelligence company's stock price doubled in its June 4 trading debut, spiking as high as $42 before closing at $34. Friday saw the rally continue before shares closed even higher, at $44.69, on Monday. The Nasdaq-hosted initial public offering raised more than $900 million for the company, signaling a strong bounce-back for the IPO market after issuances paused in the early days of the coronavirus pandemic.

    The post-offering upturn created a major windfall for the two founders. Schuck holds a 10% stake in ZoomInfo, while Brown owns 7.3% of the firm, according to a prospectus.

    "We built some really solid relationships going into the roadshow," Schuck told Bloomberg TV, adding "we felt good" about pitching ZoomInfo to investors with a virtual roadshow instead of a more traditional event.

    The newly minted billionaires join a growing coalition of founders quickly growing richer through pandemic-era dealmaking. Len Blavatnik's net worth soared by $9.1 billion since Warner Music Group, which he purchased in 2011, completed its IPO on Wednesday, according to Bloomberg. The label conglomerate's stock has since leaped 24% as of Monday's close.

    A similar jump for shares of electric truck-maker Nikola pushed founder Trevor Milton's net worth to $4.4 billion last week after the firm completed a reverse merger with VectoIQ, Bloomberg reported. Milton's fortune likely spiked higher on Monday after Nikola shares rocketed 103%.

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