Popular Lego-like video game company, Roblox, made its debut on the Wall Street stock exchange as it went public on Wednesday through a direct listing.
Roblox is not a game by itself, but rather serves as a platform for users to create their own ‘experience’ or join worlds that other players have created.
The video game platform made its first noticeable mark on the New York Stock Exchange on Wednesday, reaching a capitalisation of $46 billion at the close. The stock traded at a benchmark price of $45 but was able to conclude up 54% to $69.50.
Roblox had 32.6 million daily active users as of 2020, which is an explosive surge from the 12 million daily users it had in 2018. As of September 30, over 18 million games or experiences have been played on the platform.
The company, founded in 2004, earned about $ 29.5 billion in January this year during a financing round, a significant increase from the valuation of $ 4 billion in February 2020.