Plus500 market value now tops £375 million ($600 million).
CFD broker Plus500 has seen its shares (LON:PLUS) continue to climb steadily since Plus500 announced Q3 results earlier this month, and on Tuesday (October 29) set an important milestone. Plus500 shares rose 7% on Tuesday, crossing the £2 barrier for the first time, to close at an all-time high of 200.40.
Plus500 shares are now up 67% from its IPO in July. Plus500’s market value now sits at about a whopping $600 million, nearly 50% higher than Gain Capital (NYSE:GCAP).
For many of us in the financial markets used to US stock market prices, Plus500’s share price seems low. But the difference is just cosmetic. While US companies usually IPO at share prices in the low to mid-teens (and hopefully rise from there), UK companies typically debut at lower prices, in the £1-2 range, as share prices in the UK are quoted in pence. Plus500 rival IG Group, for example, trades at about £6.14 per share.
As we’ve written earlier, we expect that Plus500’s success as a public company will lead, very soon, to more retail forex IPOs. The only other broker making noise about an IPO is Australia-based Pepperstone, which we covered a few days ago.