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| October 10, 2007 | AP |
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| Compellent IPO Prices Above Expectations |
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| Portfolio Company: Compellent Technologies (NYSE: CML) |
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EDEN PRAIRIE, Minn. - Shares of Compellent Technologies Inc. will begin trading Wednesday after the network storage provider's initial public offering of 6 million shares priced above expectations at $13.50 per share.
According to filings with the Securities and Exchange Commission, Compellent expected the offering to price between $10 and $12 per share.
Compellent plans to use the proceeds from the IPO for sales and marketing and research and development activities, as well as for general corporate purposes. The company said it may also use a portion of the proceeds for possible acquisitions or investments.
Compellent provides network storage products that enable users to store, recover and manage large amounts of data. As of June 30, the company's storage product was being used by more than 550 companies worldwide.
For the six months ended June 30, Compellent reported a loss of $4.1 million, compared with a loss of $3.4 million in the first half of 2006. During the same period, the company more than doubled its revenue to $20.9 million from $9.5 million.
Morgan Stanley is serving as the IPO's lead underwriter. Needham & Co., Piper Jaffray, RBC Capital Markets and Thomas Weisel Partners LLC are also serving as underwriters.
The company also granted the underwriters the option to buy up to 900,000 additional shares to cover any overallotments.
Compellent's shares will be listed on NYSE Arca under the symbol "CML." |
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