LiveWire Group Inc. soared in early trading Monday as the electric motorcycle business spun off by Harley-Davidson Inc. rebounded from last week’s disappointing stock market debut.
(Bloomberg) — LiveWire Group Inc. soared in early trading Monday as the electric motorcycle business spun off by Harley-Davidson Inc. rebounded from last week’s disappointing stock market debut.
The shares rose as much as 91% despite no company announcements or other apparent news involving LiveWire. The stock was up 28% to $9.22 as of 8:22 a.m. in New York.
Representatives for LiveWire did not immediately respond to a request for comment.
Monday’s stock surge follows bizarre price action in other thinly traded firms in the wake of corporate news events. Small initial public offerings have been popping at an unusually high rate this year, while some companies that announce reverse stock splits have seen similarly unexplained spikes.
LiveWire began trading Sept. 27 after completing a merger with AEA-Bridges Impact Corp., a special purpose acquisition company. The listing brought in $295 million in net proceeds, far short of the $545 million anticipated when the deal was announced in December, reflecting the market’s growing unease with blank-check deals.
Read more: Harley’s EV Spinoff Raises Less Than Planned in SPAC Debut
LiveWire’s shares fell in each of the first three trading sessions following its debut. Harley has said it would retain a 74% stake in the business.
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