May 22 (Reuters) - Shares of Hinge Health ( HNGE ) rose

22.7% above the initial public offering price in their NYSE

debut on Thursday, giving the digital health platform backed by

Insight Partners a valuation of $3.65 billion on a fully diluted

basis.

Hinge shares opened at $39.25 per share, compared with the

offer price of $32, at which Hinge and some shareholders sold

13.67 million shares to raise $437.3 million on Wednesday.

However, the valuation of the company is a big step down

from the $6.2 billion it achieved in a 2021 funding round.

Activity in the U.S. IPO market, which started 2025 on a

strong footing compared to the last couple of years, has

declined due to geopolitical uncertainty, inflationary pressures

and an ever-evolving tariff environment.

Ticket reseller StubHub and Swedish fintech firm Klarna

recently delayed their public offerings, citing foggy

macroeconomic conditions.

However, a 90-day pause in extra U.S. tariffs on Chinese

imports has helped investor confidence, urging a few companies

to test the troubled waters.

Israeli trading platform eToro received an

overwhelming response in its Nasdaq debut last week, boosting

its shares up 34% at open.

(Reporting by Pritam Biswas in Bengaluru; Editing by Shinjini

Ganguli)