Singapore-based edtech Genius Group (GNS) saw its stock rocket 421% on Tuesday following an initial public offering that raised gross proceeds of around $22.6M.
This highly anticipated initial public offering (IPO) has blown away investors. It turns out that demand for the edtech company far exceeded the pricing expectations of the offering, leading to a rather wide discrepancy seen today.
Impressive volatility on the first day of trading isn’t uncommon for many stocks. That’s because the experts pricing these deals often do so months in advance, with market sentiment being a difficult factor to price in.
Most of the time, IPOs are priced conservatively to allow for appreciation and encourage a broader investor base. However, opening days like this signal that GNS stock was mispriced from the start. For those who got in on the IPO, it’s a big win.
Shares of Genius Group opened at $16.62 after pricing at $6 per share. The stock dipped to $13.08 in late morning, jumping to $36.55 by midday. Shares recently changed hands at $31.27, up 421%, at approximately 12:15 p.m. ET.
About IPO
The company announced on Monday that it is offering 3,272,727 ordinary shares for US$6.00 per share in the IPO. In addition, it will provide an additional 490,909 common shares for the underwriters, Boustead Securities, LLC., at the IPO price in case of over-allotment.
The company expects to raise over US$22.5 million from the IPO.
GNS has acquired four companies: Education Angels provides early learning to kids aged 0-5 in New Zealand. E-Square offers primary and secondary school education in South Africa.
The University of Antelope Valley offers vocational courses and university degrees in California. Lastly, Property Investors Network provides property investment courses in England.
About Genius Group
Genius Group is a world-leading entrepreneur Edtech and education group, with a mission to disrupt the current education model with a student-centered, lifelong learning curriculum. It prepares students with the leadership, entrepreneurial, and life skills to succeed in today’s market.
The group has over 2.7 million students in 200 countries, ranging from ages 0 to 100. The group includes four pre-IPO companies (the “Pre-IPO Group”), and four companies being acquired at the time of the closing of the IPO (the “IPO Acquisitions”).
The entrepreneur education system of our Pre-IPO Group has been delivered virtually and in-person, in multiple languages, locally and globally. It is mainly via the Pre-IPO Group’s AI-powered, personalized GeniusU Edtech platform to adults seeking to grow their entrepreneur and leadership skills.
