(Bloomberg) — Hepsiburada.com, one of Turkey’s largest online shopping platforms, was valued at $3.9 billion in its initial public offering on Nasdaq, its chairwoman said on Thursday.
The company sold shares at $12 apiece in the first such listing on the exchange by a Turkish firm and is planning to use the proceeds to offer additional services such as booking flights and money transfers, according to Hanzade Dogan Boyner, the founder and chairwoman.
“We are aiming to use the proceeds to expand our services not only in our home market of Turkey but also in nearby and high-potential markets,” she said in an online media briefing shortly before the company’s shares start trading in New York. “There are strong markets in the Middle East, North Africa and eastern Europe.”
Hepsiburada’s share offering comes after it more than doubled revenue during last year’s pandemic lockdowns. Online shopping still accounts for about 10% of the Turkish retail industry, compared with more than 20% in much of Europe, highlighting the potential for growth.
The company, backed by a unit of Franklin Resources Inc. and formally known as D-Market Elektronik Hizmetler ve Ticaret AS, said it sold shares worth $738 million in the offering, and will receive a net of $470 million through its rights issue.
The founder cut her stake to 21.4% from 25% after the rights issue in the IPO but will continue holding three-quarters of the voting power in the company, according to a prospectus filed to U.S. watchdog Securities and Exchange Commission last month. Franklin Resources Inc., which is the only share seller in the listing, will see its holding drop to 14.6% from 25%. The remainder is owned by the founder’s family members.
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