| March 21
March 21 ExactTarget priced shares in its
initial public offering above the expected range on Wednesday,
as demand continues to hold strong for cloud-based software
The Indianapolis-based e-mail marketing software firm said
it sold 8.5 million shares at $19 each, raising $161.5 million.
It had planned to sell shares at $15 to $17 each.
ExactTarget sells marketing software on a subscription basis
that helps companies communicate with customers through channels
such as e-mail, mobile and social media. Its clients include
Priceline.com, Microsoft and Angie's List
ExactTarget's revenue grew 55 percent in 2011 to $207.5
million. Its net loss, however, widened to $35.4 million from
The company had originally filed for an IPO in 2009 but
pulled the offering due to market conditions.
ExactTarget is hoping to ride the coattails of other recent
software-as-a-service (SaaS) IPOs.
Last week, Demandware priced above its expected
range and its shares soared more than 50 percent on its first
day of trading.
Other strong market debuts in the SaaS space within the last
few months included Bazaarvoice, Guidewire and
"ExactTarget has a good chance of joining the 'cloud'
companies with an increase in IPO price the first day, but
because the business still consumes cash, we would sell
ExactTarget into the after-market IPO demand," IPOdesktop.com
president Francis Gaskins wrote in a recent report.
ExactTarget's shareholders include venture firm Technology
Crossover Ventures, which holds a 26 percent stake in the
company. Greenspring Associates and Battery Ventures each hold a
roughly 18 percent stake.
The company plans to use the proceeds of the IPO for general
The IPO's underwriters included J.P. Morgan, Deutsche Bank
and Stifel Nicolaus Weisel.
ExactTarget will begin trading on the New York Stock
Exchange on Thursday under the ticker "ET."
(Reporting by Olivia Oran; Editing by Jonathan Hopfner)