ExactTarget IPO: Stock Price Soared 33.95% than Offering Price

ExactTarget IPO watch:

The U.S. e-mail marketing software giant ExactTarget landed on the New York Stock Exchange on March 22 under the symbol “ET.”, with an opening price of $23.05, 21.3% higher than the ExactTarget IPO price.

After opening, the ExactTarget stock price went down shortly, then was followed by a rapid rise and fluctuated to a pullup by the end of the market.

The ExactTarget stock price finally closed at $25.45 per share, a premium of 33.95% over the ExactTarget IPO price. Calculated by the public offering price, the company’s market value reached approximately $1.64 billion, with the first trading day volume of 48.95 million shares.

ExactTarget recognized net sales of $207 million for the fiscal year 2011, up by 55% compared with a year ago; net loss widened from $12 million of last year to $35 million for 2011, mainly due to the increase in marketing costs and employees. The number of employees added to 404, up 25% compared with a year earlier.

ExactTarget was incorporated in 2000, is focusing on e-mail marketing; it provides on-demand multi-platform interactive marketing applications to the customers. As of September 30, 2011, ExactTarget had a number of customers over 4600.

The ExactTarget IPO application was submitted as early as 2007 and the company planned to list on the Nasdaq Stock Exchange, but then ushered into the U.S. financial crisis, therefore, the company withdrew the IPO plan.

ExactTarget announced its IPO price of $19 per share, higher than the previously proposed ExactTarget IPO price range of $15 to $17 per share. J.P. Morgan Securities LLC, Deutsche Bank Securities Inc. and Stifel, Nicolaus & Company, Incorporated served as the ExactTarget IPO’s lead underwriters.

RBC Capital Markets, LLC, Pacific Crest Securities, LLC, Canaccord Genuity Inc., Raymond James & Associates, Inc. also participated into the ExactTarget IPO underwriting syndicate.