Warner Music Group launches the biggest IPO in the United States this year

The Warner Music Group Corp. (WMG.O) got off to a positive start on its Nasdaq debut on Wednesday. The world’s third-largest recording label sold shares worth $1.9-billion, marking the largest initial public offering in the United States this year.

The WMG.O stock was opened for trading at 8% above its initial public offering price of $25.

“We concluded that there was sufficient market momentum. Without ever trying to time the market, this looked like a good time to go. There is no doubt there is a risk now, but there is potentially more in waiting,” Warner Music’s Chief Executive Officer Stephen Cooper stated in an interview. “There is a widespread belief there will be a global recession hitting most economies, so waiting six months or waiting nine months to list, then investor confidence could be lower than now. With a recession, there is much more risk and much weaker investor confidence.”

Warner Music’s underwriters for its IPO were Morgan Stanley (MS), Credit Suisse (CSGN), and Goldman Sachs (GS).

WMG.O was closed at $30.12 per share on its first day of trading.