By Corrie Driebusch 

Shares of Lending Club Corp surged Thursday, opening 65% above the company's initial public offer price in early trading.

The San Francisco-based online peer-to-peer lending company recently traded at $22.95 on the New York Stock Exchange, below where the stock opened at $24.75.

On Wednesday, Lending Club sold 58 million shares for $15 apiece, above the $12 to $14 a share range that was outlined in a filing with regulators.

The highly-anticipated deal raised $870 million for the company before taking account of the overallotment option, which gives underwriters the opportunity to sell additional shares under certain circumstances.

Lending Club connects borrowers with lenders in an online marketplace for a fee; it doesn't actually lend any money itself. The deal has generated buzz particularly among technology investors, according to money managers, even as the company faces a number of risks, including competition from banks and other startups, rising interest rates and regulatory hurdles.

Lending Club kicked off its IPO opening with a breakfast at the NYSE, where board members and Wall Street heavy-hitters John Mack and Larry Summers spoke to the hundred-plus employees and friends--all clad in bright red track jackets with the company's logo--of the company gathered in the exchange's board room.

Mr. Mack, former Morgan Stanley chief executive and a Lending Club board member, said when he first met the company's chief executive, Renaud Laplanche, he asked how banks allow Lending Club to operate as it does in this space. He said he was told that Lending Club wasn't big enough to grab attention.

"We're on their radar screen now," said Mr. Mack, adding that given the pressure from the new model, "the change in financial services is going to be huge."

The deal was led by Morgan Stanley, Goldman Sachs, Credit Suisse and Citigroup.

Associated Press Lending Club kicked off its IPO opening with a breakfast at the NYSE that included CEO Laplanche, above. responsive layout header Write to Corrie Driebusch at corrie.driebusch@wsj.com

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