ASX ecommerce debutante MyDeal more than doubles on debut

eCommerce company MyDeal (ASX:MYD) become the newest ASX ecommerce stock today, and is surging just like its predecessor listees in 2020.

COVID-19 has seen an unprecedented ecommerce boom as companies’ brick and mortar stores were shut and consumers were sent online.

Several stocks have become multi-baggers, from generalists such as Kogan (ASX:KGN) and Harris Technology (ASX:HT8) to specialists including homewares stocks Temple & Webster (ASX:TPW) and Adairs (ASX:ADH).

MyDeal commenced trading at $1.85 – 85 per cent higher than the $1 IPO price. Shares have been rocketing ever since, hitting an intraday high of $2.20.

MyDeal (ASX:MYD) share price chart

“Exciting day but still the beginning”

MyDeal CEO Sean Senvirtne said listing on the ASX was a big day but the journey was far from over.

Senvirtne founded the company and bootstrapped it until 2017 when the Gandel family invested $5 million.

“This is a very exciting day for MyDeal, and I am delighted with the strong support that we received from both institutional and retail investors,” he said.

“Today it an important milestone for MyDeal, however, this is still the beginning of our journey.

“I would like to thank our long-term shareholders for the ongoing support, and welcome new shareholders to be part of the exciting journey ahead of us.”

MyDeal also announced its quarterly sales results this morning which was more than 300 per cent higher than the prior corresponding period.

It made $56.7 million in gross sales and had 669,897 active customers, whereas in the preceding years’ September quarter it made $13.58 million in gross sales and has 181,945 active customers.

In FY20 generated $103m in Gross Transaction Value in FY20, 164 per cent more than the year before and sold more than 1 million products.