Poshmark's sign outside the Nasdaq in New York on Thursday. Photo by Bloomberg
The Briefing

Poshmark Goes Public, Fitbit Gets Bought: The Information’s Tech Briefing

Photo: Poshmark's sign outside the Nasdaq in New York on Thursday. Photo by Bloomberg

Used clothing website Poshmark began life as a public company today, with its stock more than doubling to around $100 a share. At the same time, Fitbit ended its life as an independent company, after Google completed its acquisition of wearables device maker for $7.35 a share, 63% lower than Fitbit’s IPO price in 2015. Call it a tale of two stocks, or a reminder to overly enthusiastic investors of what can happen to small companies facing big rivals.

While Fitbit’s fall from grace has been well documented, it’s easy to forget that its IPO was a success. Fitbit shares sold at $20, above the original pricing range, and the stock surged to as high as $47 shortly afterward. At the time, Fitbit was growing quickly—revenue soared 150% in 2015. But that same year the Apple Watch came out. And while it was far from an immediate hit, it surely contributed to Fitbit’s business slumping. By 2019, revenue was 33% lower than 2016. Also in 2019, Fitbit stock traded as low as $2.99, before Google came along with its rescue takeover bid.

Get access to exclusive coverage
Read deeply reported stories from the largest newsroom in tech.
Latest Articles
 
The Briefing Media/Telecom Enterprise
Barry Diller’s Puzzling Magazine Drive
Barry Diller. Photo by Bloomberg.
What is the fascination that internet billionaires have with print media? First Jeff Bezos buys The Washington Post, then Marc Benioff snaps up Time magazine. And now Barry Diller is in “advanced talks” to buy Meredith Corp., the company behind People, Better Homes and Gardens, Entertainment Weekly, among others, according to the Wall Street Journal. And as was the case with both Time and The...
Latest Briefs
 
Internal Robinhood Discussions Revealed in Court Filing
Huawei Finance Chief to be Freed After Deal with U.S. Prosecutors
China Bans All Cryptocurrency Transactions
Stay in the know
Receive a summary of the day's top tech news—distilled into one email.
Access on the go
View stories on our mobile app and tune into our weekly podcast.
Join live video Q&A’s
Deep-dive into topics like startups and autonomous vehicles with our top reporters and other executives.
Enjoy a clutter-free experience
Read without any banner ads.
Illustration by Haejin Park
Exclusive Google
How Google Spies on Its Employees
At Google, a seemingly innocuous action can earn an employee the attention of the company’s corporate security department.
Illustration by Josh Brill
Exclusive Venture Capital Startups
More Startup CEOs Are Moonlighting as VC Investors
Late last year, Lattice CEO Jack Altman started an unusual side gig for a startup founder: He raised $20 million from investors for a venture capital fund he was launching while continuing to run Lattice, the developer of human resource management software he co-founded six years ago.
The Athletic co-founder Alex Mather with The Information's Jessica Lessin in 2018. Photo by Erin Beach.
Exclusive Media/Telecom
The Athletic Hires LionTree to Find Buyer at Price of More Than $750 Million
If at first you don’t succeed, try, try again. That appears to be the motto of The Athletic in its efforts to sell itself.
Sarah Guo, a general partner at Greylock Partners. Photo by Bloomberg.
Exclusive Venture Capital Startups
Greylock Raises $500 Million in Battle for Seed Deals
Greylock Partners has raised $500 million to focus exclusively on seed deals, a pool of funds that will give the 56-year-old venture capital firm the ability to write large checks at “lean-in valuations” and emphasize its commitment to early-stage investing, said general partner Sarah Guo.
Data Point Startups Markets
What’s Hot and Cold in the SPAC Market
After a frenetic beginning to 2021, the special purpose acquisition company market has cooled off in recent months, with fewer SPACs filing to go public and many pre-deal shares trading below their $10 issue price.
A high school student works on a laptop computer at home during a remote learning day. Photo by Bloomberg
Exclusive Venture Capital Startups
Online Learning Company Udemy Plans October IPO
Udemy, a San Francisco–based startup that sells online courses to individuals and businesses, is preparing to file paperwork for an initial public offering whose listing could come as soon as next month, according to two people with direct knowledge of the matter.