In its New York Stock Exchange debut on Friday, customer experience management platform Medallia (NYSE: MDLA) grew more than 70%.
The company rang the opening bell at the New York State Exchange, where founders Borge Hald and Amy Pressman held a Q and A meetup with some of their customers.
The nearly two-decade-old company priced its stocks at $21 apiece, the top of its suggested range on Thursday evening, and traded them the next morning as high as $39.54. Medallia closed up approximately 76% at about $37 per share on Friday.
The company sold a total of 15.5 million shares in its IPO, raising $326 million with a $2,5 billion valuation in the process.
Led by chief executive officer Leslie Stretch, the San Mateo-headquartered Medallia offers a platform to help businesses improve their customer and employee experience. Its core product is Medallia Experience Cloud that provides employees real-time data on customers which are collected via social media platforms and online review sites.
Medallia leverages the data collected across different channels to provide insights and tools that help businesses optimize their services and improve customer experience.
Apart from enhancing customer experience journey, organizations use insights provided by Medallia for various purposes – to boost engagement, generate leads, decrease costs, build effective marketing strategies, revamp business models and increase revenue.
Earlier this year, Medallia raised $70 million in Series F funding which made its total equity funding $268 million. The company is supported by four venture capital firms: Saints Capital, TriplePoint Venture Growth, Grotmol Solutions and Sequoia Capital — which owned a roughly 40% pre-IPO stake.
Owing to the high price of Medallia’s stocks on Friday, Sequoia’s 40% stake was worth upwards of $1.8 billion. Creating a buzz around the trading world, Medallia is expected to perform well through the trading sessions in the upcoming weeks.