AOL, Vimeo owner Bending Spoons surges nearly 40% in US market debut

By Arasu Kannagi Basil, Elvira Pollina and Echo Wang

July 1 (Reuters) - Bending Spoons shares closed nearly 40% higher in their U.S. market debut on Wednesday, as investors bought into the Italian firm's ‌model of buying and revamping struggling technology companies.

The Milan-based company's shares opened at $31 apiece and closed at $40.50, giving the firm a market value of $25.7 billion.

The listing adds to signs of a broadening recovery in the U.S. IPO market and serves as a gauge of investor appetite for software companies after the industry was hammered earlier this year by fears that AI could disrupt established business ​models.

Software companies have been largely absent from the U.S. IPO market in 2026, even as a steady flow of large deals and SpaceX's blockbuster listing pushed second-quarter proceeds past a record-breaking $100 billion.

"It'll definitely be a data point for the software industry, but that may simply be due to the scarcity of deals here," said Matt Kennedy, senior strategist at Renaissance Capital, a provider of IPO-focused research and ETFs.

"Bending Spoons has a very different profile compared to most software IPOs in the pipeline."

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Bending Spoons' playbook, a hybrid between private equity and a tech company, focuses on underperforming digital businesses. Its takeovers have often been followed by large job cuts and deep restructuring as it works on accelerating product development and boosting revenue growth.

The company's acquisitions since 2025 include video platform Vimeo, streaming platform Brightcove, ticketing marketplace Eventbrite and internet brand AOL.

"We have found over 1,000 companies that we believe are reasonable acquisition targets in the foreseeable future,” said Luca Ferrari, Bending Spoons' co-founder and CEO. “We're not in a position to announce anything, but we're very active.”

Bending Spoons and selling shareholders raised $1.68 billion by selling 58 million shares at $29 apiece, above the marketed range of $26 to $28.

The offering saw strong demand from both existing and new investors, reinforcing a bullish view of the U.S. IPO market, said a banker at one of the lead bookrunners, who declined to be named.

Bending Spoons, whose name is inspired by a scene in the science-fiction film "The Matrix," rose from the ashes of failed diary app Evertale in 2013.

The $40,000 left after Evertale's liquidation was used by Ferrari and co-founders to start Bending Spoons. It has since become one of Europe's most prominent technology companies.

"Bending Spoons isn't really a software holding company. It's a high-conviction venture bet wearing a holding company's clothes. They've proven they can pull off brutal, high-speed corporate turnarounds with staggering engineering efficiency," said Tim Schumacher, founder of tech company saas.group, which acquires and grows founder-led SaaS businesses.

"The real test is whether an emotionless, debt-fueled software factory can survive a full economic cycle — not just a strong few years on a friendly macro tailwind."

Bending Spoons has grown through above 50 acquisitions and more are likely to follow. Unlike private equity, the firm does not sell the acquired businesses.

"It's an interesting story, and they've done a good job creating a cohesive narrative around owning more than 50 businesses. The 'fix it with AI' pitch makes sense in theory, though we would have liked to see a longer track record," Kennedy said.

(Reporting by Arasu Kannagi Basil in Bengaluru, Elvira Pollina in Milan and Echo Wang in New York; Editing by Sriraj Kalluvila, Joyjeet Das and Sahal Muhammed)