NEWS
03/23/2018 09:56 EDT | Updated 03/23/2018 10:01 EDT

Shares of Dropbox surge in first day of trading

NEW YORK — Shares of the digital file storage company Dropbox are soaring after the company set its offering price above expectations.

The San Francisco company was offering about 26.8 million shares of stock at $21 apiece, while selling shareholders were offering about 9.2 million shares. It was previously expected to offer shares at a range of $18 to $20.

The stock rose $8.88, or 42 per cent, to $29.89 in its first day of trading on the Nasdaq Friday.

The company, founded 11 years ago, boasts about 500 million users. It provides services for backing up documents, photos and other video. It competes with smaller rival Box Inc., which went public two years ago, as well as technology behemoths Google, Microsoft and Amazon.