Fast-growing women's boutique chain Francesca's soared 63% in its trading debut Friday, making it the fourth best first day gain for a US listed IPO so far this year. Francesca's "broad but shallow" merchandising strategy has fueled its rapid growth; the retailer, which currently operates 249 boutiques in 38 states, sees potential to expand to as many as 900 stores in seven to ten years. Francesca's priced its 10 million share IPO at $17 per share, 13% above the midpoint of its $14-$16 range.
Francesca's success follows hot on the heels of online real estate marketplace Zillow (Z), which also made its debut this week. Zillow ended its first day of trading up 79% from its IPO price of $20, earning it a spot in third place on our list of highest first day returns year-to-date, following Chinese Internet company Qihoo 360 (QIHU, 134% first day pop) and social networking site LinkedIn (LNKD, 109%).
