Dr. Martens and Moonpig ‘pop’ on market debuts
Iconic footwear brand Dr. Martens (DOCS) and online greetings cards website Moonpig (MOON) both enjoyed strong debuts on the UK market. This demonstrates there is strong demand from both institutional and retail investors for initial public offerings (IPOs).
Dr. Martens’ shares have risen from their 370p issue price to 450.1p, a gain of 22%, following an eight times oversubscribed IPO offer that valued the Air-Ware shoes and boots maker at a bumper £3.7 billion. Evidently, investors are keen to buy into the successful transformation and global growth potential of Dr. Martens.
As Shares went to press, Moonpig’s shares were 23% higher at 429.6p in debut dealings (2 Feb). The online greetings cards retailer priced its IPO at a top of the range 350p for a starting market tag of around £1.2 billion, investors seemingly buying into the online retailer’s technology credentials and the potential for Moonpig to sell more gifts alongside its personalised cards.
‘There is potential to increase customer numbers, and to lift AOV (average order value) – especially by attaching gifts,’ says Peel Hunt, adding that ‘the data science and the technology behind the scenes is impressive’.