One of the industries hardest hit by the effects of the coronavirus pandemic has been restaurants. Having a consumer base cut off for nearly an entire calendar year, many dining establishments have shuttered their stores permanently as a result. Toast (NYSE:TOST) is a company that allowed many restaurants to stay afloat and avoid a similar fate. The tech vendor is now going public, and investors are looking to get in on the TOST stock initial public offering (IPO).
Toast’s IPO is allowing the company to capitalize on the momentum it built as a private company through the worst of the pandemic. In leveraging its role in buoying the industry with its products, the stock is securing a higher price point than previously anticipated. With a public offering coming in the next few hours, there’s lots to know about the event. Here are the key details around the TOST stock IPO.
TOST Stock IPO Brings Crucial Restaurant Tech Player to the NYSE
- Toast is a software-as-a-service (SaaS) company, offering products to more than 48,000 restaurant locations.
- Its most notable products include payment-processing tools, which helped transact $38 billion last year, according to the company’s prospectus. These tools were a large source of fuel for contactless delivery, which powered restaurants through a take-out-heavy 2020.
- The company filed for a public offering in late August, and after getting the nod from the Securities and Exchange Commission (SEC), it will be launching on the New York Stock Exchange today.
- The stock will be listing under the “TOST” ticker.
- Initially, the company anticipated listing shares for $30 to $33 apiece. However, after upping that range twice, the value of TOST stock is being priced at $40 per share.
- This price point values the company at around $20 billion. Last year, the company saw a value of $8 billion after its secondary stock sale.
- Toast plans on selling nearly 22 million shares of TOST stock. This will allow the company to raise over $850 million.