(GRPN - Get Report)
shares closed up more than 30% on the daily deals site's first day of trading as a public company.
Despite recent criticism of the company's accounting and concerns about Groupon's ability to
turn a long-term profit
, the shares opened up 40% from their IPO pricing level.
Late Thursday night, Groupon priced 35 million common shares at $20 each, above the range of $16 to $18 it had initially sought. The offering raised about $700 million and valued the company at just under $13 billion.
The stock then opened at $28 a share on the Nasdaq on Friday. Anticipating such a scenario, experts had urged investors to
the shares at market open.
The shares went on to hit a high of $31.14 during the day's trading, eventually closing at $26.11, a 30.55% hike on the offering price.
One of the biggest challenges looming on the horizon for the newly-public company, however, is
from the likes of
, as well as a slew of smaller firms.
Groupon also goes public at a time of
about the health of the global economy.
Written by James Rogers in New York
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