The company, which provides international shipping services for at least 37 e-retailers ranked in the 2013 Top 500 Guide, including Gilt Groupe and Crate and Barrel, issued five million shares at $16 per share on the NASDAQ exchange.
Katie Evans , Editor, Mobile
Borderfree Inc., which provides e-retailers with international shipping services, including displaying shipping fees, duties and taxes to foreign shoppers at checkout, has raised $80 million in an initial public offering of stock on the NASDAQ exchange.
Borderfree, which changed its name from FiftyOne Global Ecommerce last year, handles international shipping for at least 37 e-retailers ranked in the 2013 Top 500 Guide. They include Gilt Groupe, No. 49; Crate and Barrel, No. 59; and David’s Bridal Inc., No. 344.
The company issued five million shares at $16 per share on the exchange, listing under the symbol BRDR. Borderfree announced in February a goal to raise $86.25 million in its IPO. The company says it made more than $110 million in revenue during 2013 while posting a loss of $654,000.It says it works with more than 150 e-commerce sites, accepts more than 60 currencies and delivers to more than 100 countries and territories.
Borderfree makes money from fees it collects from retailers based on a percentage of their sales generated through Borderfree. Customer contracts typically range from one to four years, followed by one-year renewal periods, according to a filing with the Securities and Exchange Commission. It also generates additional revenue from fulfillment services, foreign exchange and other transaction fees. In 2013 it facilitated $448 million in gross merchandise sales volume on behalf of its customers, reaching 76% of the world’s population outside the United States.
Credit Suisse and RBC Capital Markets were the main underwriters for the offering.