Figma, the design and collaboration software company, made a notable debut on the New York Stock Exchange (NYSE) with its initial public offering (IPO) priced at $33 per share. Shares opened at $85, representing a 158% increase from the IPO price, and surged up to 250% during the first day of trading, closing above $115.50. This rally valued the company at nearly $68 billion on a fully diluted basis. The IPO marked the largest venture-backed tech IPO by market capitalization since Rivian in 2021. Notable investors such as Cathie Wood's Ark Invest purchased 60,000 shares during the IPO frenzy. Despite the strong debut, Figma's stock experienced a pullback in the days following the IPO, dropping as much as 27.4% to around $88.60, which still represented a gain of over 160% from the IPO price and a market cap near $56 billion. The decline was attributed to waning IPO sentiment and a tight float of approximately 7% at the IPO, which fueled the initial post-IPO surge. Figma's CEO Dylan Field reportedly opted for a lower IPO price to include long-term institutional shareholders. The IPO generated substantial returns for early investors, with Index Ventures turning an $86.5 million investment into nearly $6 billion in value. The company’s fully diluted valuation post-IPO surpassed Adobe's $20 billion acquisition offer from 2022. The strong market debut has been seen as a positive sign for the tech IPO market, though the stock's volatility post-IPO reflects typical market dynamics for highly anticipated listings.