The IPO Buzz: VSME Media Opens Up 20 Percent & Ends Down 23.8 Percent in NASDAQ Debut

Hong Kong-based VSME Media Holdings Ltd. (VSME) priced its IPO in sync with its prospectus – 2.0 million shares at $5.00 to raise $10.0 million – on Wednesday night (Sept. 27, 2023). VSME Media Holdings’ stock jumped $1.00 – or 20 percent – to open at $6.00 at 10:30 a.m. EDT today (Thursday, Sept. 28, 2023) on the NASDAQ on volume of 196, 102 shares. The stock soon hit a session high at $6.50. VSME Media Holdings’ stock was trading at $5.60 at around 10:51 a.m. EDT on volume of about 1.5 million shares.

But shares of VSME Media Holdings changed course shortly after noon EDT and slid below their IPO price – falling to $4.65 at 12:14 p.m. EDT. VSME Media Holdings’ stock closed at $3.81 – down $1.19 from their $5.00 IPO price – for a drop of 23.8 percent on their first day of NASDAQ trading.

The U.S. government began notifying federal government employees today that a government shutdown may begin as soon as Sunday due to an impasse between Republicans and Democrats in Congress over the federal budget.

Univest Securities was the sole book-runner of VSME Media Holdings’ IPO.

VSME Media Holdings Ltd. – the parent company – issued the stock in the IPO. The parent company is incorporated in the British Virgin Islands.

“Founded in 2013, our company manages a global network of digital Creators who create and publish content to social media platforms such as YouTube, Facebook, Instagram and TikTok,” the prospectus says. “Our Creators include influencers, KOLs—Key Opinion Leaders, bloggers, and other content creators who cultivate fanbases on social media platforms. Our Company provides value to Creators and Brands.”

The company is profitable. For the year ended on Dec. 31, 2022, VSME Media Holdings reported net income of $3.53 million on revenue of $9.03 million.

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