Zillow, the real estate search website, has priced its initial public offering at $20 per share, giving the company an implied valuation of $539.2 million. The stock will begin trading under the single-letter ticker symbol “Z” on the Nasdaq stock exchange on Wednesday morning.
Zillow will raise a total of about $70 million in the IPO. The offering’s underwriters will have the option to purchase an additional $10 million worth of shares in the 30 days following the stock market debut.
Zillow’s stock market debut will occur just three months after the company filed its S-1 with the Securities and Exchange Commission. In that first filing, Zillow said it hoped to raise around $51 million in an IPO. The offering price announced on Tuesday shows that the company has encountered a healthier appetite for its stock than it initially expected.
This summer has proven to be an especially active one for the tech sector and the public markets. Professional social networking site LinkedIn kicked off the season with a solid IPO on May 9. Two weeks later Russian search engine Yandex (YNDX) debuted on the Nasdaq exchange; the month of June saw S-1 filings from daily deals site Groupon and e-commerce company CafePress and an IPO from Internet radio company Pandora. Then Zynga rang in July with its own S-1 filing to raise a whopping $1 billion in its planned IPO.