This IPO's 250% jump just turned several investors into billionaires
What's the story
Figma, the latest tech giant to go public on the New York Stock Exchange (NYSE), had a stellar debut. The company's shares jumped 250% on their first day of trading, giving it a market cap of $61.5 billion based on listed shares. With employee stock options and restricted stock units included, Figma's fully diluted valuation exceeds $73 billion—more than triple Adobe's previous $20 billion acquisition offer that was blocked by regulators over competition concerns.
Fundraising success
IPO raised $1.2 billion for Figma
The IPO raised $1.2 billion for Figma and was oversubscribed by more than 40 times. This means that there was a lot more demand for shares than there were available, leading to many investors not getting any allocation at all. The strong market debut of the company has also resulted in huge payouts for its early investors and key stakeholders, according to Business Insider's analysis.
Investor gains
Early backers see huge returns
Index Ventures, Figma's largest VC investor, had invested nearly $100 million in the company early on. After the IPO, its stake was worth a whopping $7.2 billion. Meanwhile, Greylock Partners—Figma's second-largest investor—saw their stake worth $2.03 billion at the time of the IPO, more than 40 times what they originally invested.
Executive payouts
Figma CEO's stake worth $6.3 billion today
Dylan Field, Figma's co-founder and CEO, owns about 11% of the company or 57 million shares. He sold 2.35 million shares in the IPO for an estimated $78 million at the listing price of $33 per share. His remaining stake was worth about $6.3 billion. Praveer Melwani, who became CFO in 2022, owns around 0.3% of the company and sold 47,500 shares during the IPO for an estimated $1.6 million with a remaining stake valued at about $171 million today.
Additional payouts
CRO Voskanian and co-founder Wallace's stakes
Shaunt Voskanian, Figma's Chief Revenue Officer (CRO) since 2021, owns about 0.2% of the company. He sold 90,000 shares for an estimated $3 million in the IPO and his remaining stake is worth some $136 million today. Evan Wallace, a co-founder who served as CTO for nearly a decade before leaving in 2021, owns around 5.5% of Figma but didn't sell any shares himself.