Coupang Suspends Select Imported Foods Due to Safety Concerns Amid Rapid Growth

Coupang, a Korean retail company, has suspended the sale of certain imported foods due to safety concerns. The company operates through mobile apps and websites, offering a wide range of products, including fresh food and grocery, electronics, and content streaming services. The suspension affects its Product Commerce segment, which includes its fresh grocery offering, Rocket Fresh. The company is also developing other offerings, such as restaurant ordering and delivery services, online content streaming, and fintech services.

By the close of Circle Internet Group's first trading day on June 5, its stock had skyrocketed to $88, marking a staggering 180% increase from the price institutional investors paid during the underwriting led by JPMorgan, Goldman Sachs, and Citigroup. This surge was one of the most significant in IPO history, ranking seventh among the largest "leaves on the table" since 1980 [1].

On June 6, Circle's stock jumped another nearly 30% to $107.5, further cementing its status as a historic IPO. This two-day moonshot of nearly 250% in stock price is by far the highest for any IPO that raised $500 million or more since 1980, according to Jay Ritter, a professor at the University of Florida and the world's leading expert on IPOs [1].

Circle sold 39 million shares, raising $1.145 billion after underwriting fees of $67 million. If the shares had fetched the $107.5 close on June 6 instead of the $31 (excluding fees) paid in the presale, the company and insiders would have collected $4.144 billion. As of the second day of trading, the IPO had left a staggering $3 billion on the table [1].

This massive windfall flowed to the underwriters' Wall Street clients, while Circle and its insiders missed out. Circle's market cap reached $22 billion, selling at 140 times earnings, making it an ultrahigh-risk stock. The company's rapid growth and valuation make it a target for competitors, including stablecoin rivals invading its space.

References:
[1] https://finance.yahoo.com/news/circle-ipo-delivered-biggest-two-090000108.html