Zipcar IPO races past expectations to $174M
Zipcar Inc. announced that its initial public offering raised $174.3 million, well above what the company had previously expected, because it priced shares above the anticipated range and sold additional shares.
[Editor's Note: By Thursday afternoon Zipcar was trading around $28 a share.]
The Cambridge-based car-sharing firm said the shares priced at $18 each, above the previously announced range of $14 to $16. The company said it had sold about 9.7 million shares, compared to the 8.3 million shares that its IPO registration had forecast. In all, the IPO raised about 27 percent more than Zipcar’s previous top expectation of $133 million.
The company will begin trading on the Nasdaq Stock Market on Thursday under the symbol “ZIP.” Lead underwriters for the offering were Goldman, Sachs & Co. and J.P. Morgan.
Zipcar intends to use the proceeds for repayment of debt, working capital for business expansion, development of new services and other general corporate purposes, the company said.
Zipcar first registered to go public last June, with a $75 million figure on the cover. The company had raised approximately $40 million from venture-capital investors, and in December added another $21 million led by Meritech Capital Partners.
Read more in Mass High Tech.
Comments
If you are commenting using a Facebook account, your profile information may be displayed with your comment depending on your privacy settings. By leaving the 'Post to Facebook' box selected, your comment will be published to your Facebook profile in addition to the space below.