Apps & Software

SolarWinds IPO Debuts With Strength (SWI)

SolarWinds, Inc. (NYSE: SWI) is set to debut in an initial public offering this Wednesday morning.  We got a premium pricing at $12.50 for 12.11 million shares, which is higher than the $9.50 to $11.50 indicated price range.  Despite the name, this is not a green technology or solar power company.

About 9 million shares are from the company and some 3.11 million are form selling holders. JPMorgan Chase, Goldman Sachs, and Morgan Stanley are the lead underwriters on the offering; and co-managers are listed as Jefferies & Co., Thomas Weisel Partners, and Ladenburg Thalmann.  The underwriting group has an overallotment option to sell some 1.81 million shares.

As a reminder, this is not a solar power company.  The company makes enterprise-class network management software ranging from individual software tools to more comprehensive software products, solve problems faced every day by network professionals and help to enable efficient and effective network management.

For the years ended December 31, 2006, 2007 and 2008 and the three months ended March 31, 2009, it generated:

  • Revenue of $38.2 million, $61.7 million, $93.1 million and $24.1 million, respectively;
  • Operating income of $25.4 million, $30.9 million, $42.0 million and $10.0 million, respectively;
  • Adjusted EBITDA of $27.1 million, $35.4 million, $48.4 million and $12.1 million, respectively.

JON C. OGG

Sponsored: Attention Savvy Investors: Speak to 3 Financial Experts – FREE

Ever wanted an extra set of eyes on an investment you’re considering? Now you can speak with up to 3 financial experts in your area for FREE. By simply clicking here you can begin to match with financial professionals who can help guide you through the financial decisions you’re making. And the best part? The first conversation with them is free.Click here to match with up to 3 financial pros who would be excited to help you make financial decisions.

Thank you for reading! Have some feedback for us?
Contact the 24/7 Wall St. editorial team.