Ellie Mae priced its initial public offering at $6 per share late Thursday, raising $45 million for the Pleasanton, Calif., mortgage technology vendor.
The initial offering of 7.5 million shares of common stock began trading Friday on the New York Stock Exchange under the symbol ELLI — 350 days after Ellie registered its first IPO paperwork seeking to raise $86.25 million.
With slightly more than 20.4 million shares outstanding, the stock's opening price values Ellie's market capitalization at $122.4 million.
Ellie registered its stock with the Securities and Exchange Commission and slashed its offering price 40%. Net proceeds from the IPO will be $21.4 million, not the $40 million to $60 million Ellie said it would yield at a per-share price of $9 to $11.
After a window of approximately three months, research analysts at the underwriter and co-managers will be allowed to publish their research on Ellie, providing an investor-minded analysis of the company, which generated net income of $777,000 on revenue of $43.23 million in 2010.
Barclays Capital was the sole underwriter on the deal, while William Blair & Co., Piper Jaffray and Morgan Keegan were co-managers. All four were sold books of stock, said a source who is familiar with the deal but not authorized to speak publicly on it.
Ellie officials have remained all but silent in the nearly yearlong IPO process, regularly declining requests for media comment about the company, citing the quiet period associated with the IPO.
