Via Stock Performance: Ends First Day Above IPO Price

Via's IPO: A Measured Market Response

Initial investor reaction to transit software company Via’s public offering on Friday was characterized by caution. Shares commenced trading below the initial public offering price, although a partial recovery occurred by the market's close, resulting in a slight increase.

IPO Details and Initial Trading

Via, which submitted its initial IPO filing confidentially in July, set the IPO price at $46 per share, successfully raising $492.9 million. However, trading began with a dip to $44 per share before gradually climbing back to finish the day at just above $49. This resulted in a valuation of approximately $3.9 billion for Via at the conclusion of its first day as a publicly traded company.

The IPO generated roughly $328 million for Via directly, while existing shareholders divested $164 million in stock, bringing the total deal value to nearly $493 million.

Company Leadership Perspective

“We are exceptionally pleased with the outcome of today’s IPO,” stated Via CEO Daniel Ramot. “This reflects the inherent value and long-term viability of our company. We extend our gratitude to our team, partners, and investors for their contributions to achieving this significant milestone.”

Evolution of Via’s Business Model

Founded in 2012, Via initially operated Via-branded shuttle services accessible through user requests. The company subsequently refined its on-demand routing algorithm, leveraging real-time data to optimize microtransit shuttle routes.

This technology now constitutes the core of Via’s business, which is marketed to 689 cities and transit agencies to enhance their microtransit capabilities.

Future Investment Plans

Ramot informed TechCrunch that the capital raised will be allocated to fuel growth initiatives, bolster sales and marketing efforts, and potentially explore future acquisitions.

“Our primary objective isn’t simply to secure funding for operational expenses,” Ramot explained. “We may utilize the proceeds and the advantages of being a publicly traded company to pursue strategic acquisitions, similar to those of Remix and Citymapper.”

Strategic Acquisitions

Via previously acquired Remix, a bus planning platform, in 2021, and Citymapper, a journey planning application, in 2023. Ramot indicated a preference for acquisitions that complement existing offerings, rather than those focused solely on expanding market share.

Financial Performance and Projections

Via has experienced approximately 30% year-over-year revenue growth. The company projects revenue of around $429 million in 2025, based on a four-times multiple of its current quarterly revenue.

Revenue for the first half of 2025 reached $205.7 million. While still operating at a loss, the company’s financial performance is improving. The first six months of 2025 resulted in a loss of $37.5 million, a decrease from $50.4 million during the same period in the prior year.

Path to Profitability

Ramot stated that Via is nearing profitability but refrained from providing specific forecasts.

Focus on Government Partnerships

The executive emphasized that Via’s growth demonstrates the potential for sustainable profitability through partnerships with government entities.

“Many technology companies pursuing public offerings do not prioritize this sector – supporting local government,” he noted. He added that Via’s technology primarily benefits users of microtransit and paratransit systems, including individuals who rely on buses for transportation.

Serving Underserved Communities

“Our services typically support low-income individuals, people with disabilities, and students,” he said. “It is encouraging to see investors recognizing and supporting this mission.”