Viking Holdings’ market capitalisation has surged to nearly $12bn as its shares have mounted gains after it priced its IPO near the top of the targeted range.

The Torstein Hagen-controlled owner of ocean and river cruise ships debuted on the New York Stock Exchange on Wednesday after an IPO sold 64m shares, 11m of which was new stock issued by the company to raise cash and the remainder sold by shareholders CPP Investments and TPG.

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At the $24 price, the IPO saw $1.54bn in share sales, which rises to $1.77bn if underwriters take up their options to buy an additional 9.6m shares from Canadian pension fund manager CPP and Texas private equity firm TPG.

Viking’s shares have risen to $27.50 per share in late morning trading, a 14.6% increase on the IPO price.

With convertible equity factored in, Viking Holdings has 431m in implied shares outstanding, according to Yahoo Finance.

The latest share price gives a market capitalisation of just under $11.9bn, which represents the addition of $1.5bn in market value in the two days since the IPO closed.

When the offering priced at just $1 shy of the $25 top of the targeted range, Viking announced that the offering had been upsized.

Initially, CPP and TPG were aiming to sell 33m shares, but they put an additional 20m on the selling block, meaning they offloaded a combined $1.27bn in Viking stock, which could rise to $1.5bn.

Before the IPO, the two investment firms had been tied for second-largest shareholder with 21.9% of the equity and 5.9% of the voting rights.

If both firms upsized their share sales in equal amounts, their stakes would now stand at 15.2% each.

Hagen, a Norwegian billionaire, owns 52.2% of Los Angeles-headquartered Viking.

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