Design-software company Figma Inc. priced its initial public offering above its estimated range at $33 a share, raising more than $1.2 billion, in a sign of a strong gain in its opening day of trading on Thursday.

Figma Inc.’s US initial public offering is approaching 40 times oversubscribed, according to people familiar with the matter, as the design and collaboration software company heads for what could be the year’s most in-demand listing.