The company raised at least $1.2 billion through the offering. Underwriters have access to an overallotment of 3.7 million shares beyond the original 24.6 million shares that Affirm sold through its IPO.  Affirm reportedly delayed its IPO from late last year given the big first-day stock moves for Airbnb Inc. ABNB, +8.92% and DoorDash Inc. DASH, +3.40%

Affirm, led by PayPal Holdings Inc. PYPL, +2.95% cofounder Max Levchin, offers payment options that let people make online purchases in installments. The company receives compensation from merchants when customers opt for one of Affirm’s lending options. Affirm has an interest-free “0% APR” offering as well as a “simple-interest” loan product through which it also gets paid on the consumer end of a transaction.

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The company’s biggest customer is Peloton Interactive Inc. PTON, +6.44%, which accounted for about 28% of Affirm’s revenue in its latest fiscal year that ended in June. Affirm saw revenue of $509.5 million during its last fiscal year, up from $264.4 million a year earlier. The company posted a net loss of $112.6 million, compared with a loss of $120.5 million in the year-prior period. 

“The pandemic has created a favorable environment as more value-conscious shoppers are seeking ways to finance online purchases in a seamless manner,” MKM Partners analyst Rohit Kulkarni wrote in a pre-IPO note to clients.

Affirm works with bank partners who originate many of the company’s loans.

The offering comes as the Renaissance IPO ETF IPO, +1.55% has gained 22% over the past three months and as the S&P 500 SPX, +0.30% has risen 8.5% over the same span.