Two venture-backed companies launched their initial public offerings today, and had a mixed first day of trading. Tesaro, a biotechnology company, and Exa, a simulation design software company, are the first venture-backed IPOs to begin trading since Facebook's IPO on May 18.
Tesaro priced its IPO at $13.50 per share, at the mid-point of its $12-$15 range, and raised $81 million in the offering for an IPO market capitalization of $360 million. Tesaro's stock opened at $13.94 per share for an opening pop of 3.4% and closed at $13.69, up 1.4% from the IPO price. Citigroup was the lead left book-running underwriter on the offering. Venture capital investors in Tesaro include InterWest Partners, Kleiner Perkins Cauflied & Byers, New Enterprise Associates, Pappas Ventures and Venrock.
Exa priced its IPO at $10.00 per share, below the offering range of $11-$13, and raised $63 million in the offering for an IPO market capitalization of $132 million. Exa's stock opened at $10.01 per share, flat, and closed at $9.80, down 2% from the IPO price. Stifel Nicolaus Weisel was the sole book-running manager on the offering. Venture capital investors in Exa include Boston Capital Ventures and Edelson Technology Partners.
It would have been nice for these companies to have strong performances for the day, but another test will be tomorrow's expected IPO of ServiceNow, an IT management cloud service backed by venture firms Greylock Partners, JMI Equity and Sequoia Capital. ServiceNow plans to trade on the NYSE with Morgan Stanley as the lead left boor-running manager.
Tesaro priced its IPO at $13.50 per share, at the mid-point of its $12-$15 range, and raised $81 million in the offering for an IPO market capitalization of $360 million. Tesaro's stock opened at $13.94 per share for an opening pop of 3.4% and closed at $13.69, up 1.4% from the IPO price. Citigroup was the lead left book-running underwriter on the offering. Venture capital investors in Tesaro include InterWest Partners, Kleiner Perkins Cauflied & Byers, New Enterprise Associates, Pappas Ventures and Venrock.
Exa priced its IPO at $10.00 per share, below the offering range of $11-$13, and raised $63 million in the offering for an IPO market capitalization of $132 million. Exa's stock opened at $10.01 per share, flat, and closed at $9.80, down 2% from the IPO price. Stifel Nicolaus Weisel was the sole book-running manager on the offering. Venture capital investors in Exa include Boston Capital Ventures and Edelson Technology Partners.
It would have been nice for these companies to have strong performances for the day, but another test will be tomorrow's expected IPO of ServiceNow, an IT management cloud service backed by venture firms Greylock Partners, JMI Equity and Sequoia Capital. ServiceNow plans to trade on the NYSE with Morgan Stanley as the lead left boor-running manager.
