Olo Prices Shares At $25 – IPO To Raise $450M

Software-as-a-service company Olo has announced the price of its Class A common stock as $25 per share, a press release says.

Olo’s work involves creating digital ordering and delivery solutions for restaurants.

Olo will be offering 18 million shares of the stock, and the shares are expected to begin trading on March 17 on the New York Stock Exchange with the symbol ‘OLO.’

The offering will then close on March 19.

The lead book-running managers for the listing are Goldman Sachs and J.P. Morgan, and RBC Capital Markets is acting as book-running manager for the offering. Piper Sandler & Co., Stifel, Nicolaus & Company, Incorporated, Truist Securities, Inc., and William Blair & Company, L.L.C. are acting as co-managers for the offering, according to the release.

PYMNTS writes that Olo’s software allows for ordering on a range of digital channels. Its delivery programs manage orders and integrate with third party services, and is has platforms for managing restaurants’ online presences, among other things.

After more than a year of rumors the company is finally going public. As Olo specializes in digital ordering, it’s now in position to take advantage of the new expansion of peoples’ digital lives as a result of the pandemic. In its filing, the company said it was thinking consumers will keep on wanting digital solutions from restaurants for the convenience.

Olo also noted that orders placed from third party aggregators were increasing alongside those from the companies’ platforms, which shows the value of having multiple ways to order for maximum convenience. Olo also noted that the market in the U.S. for these services was likely to be driven by digital services in the future.

With the pandemic having limited dining options, Olo saw revenues rise as restaurants scrambled to find alternative sources to revenue while they were shut down. The filing says Olo’s revenue shot up 55 percent in the first quarter of 2020 and 100 percent in the second.