Model N (MODN) IPO Surges Higher

March 20, 2013 9:47 AM EDT

Model N IPO Opens 31% Higher

The IPO for Model N (NYSE: MODN) is open for trading. Shares opened at $20.30 after pricing 6,740,000 shares of its common stock at $15.50, above the expected $12.50-$14.50 IPO range.

J.P. Morgan Securities LLC and Deutsche Bank Securities Inc. are acting as joint bookrunning managers for the IPO, and Stifel, Nicolaus & Company, Incorporated, Pacific Crest Securities LLC, Piper Jaffray & Co. and Raymond James & Associates, Inc. are acting as co-managers.

Model N is a provider of revenue management solutions for the life science and technology industries. The company's solutions enable customers to maximize revenues and reduce revenue compliance risk by transforming their revenue lifecycle from a series of tactical, disjointed operations into a strategic end-to-end process.

Total revenues were $50.4 million, $65.2 million and $84.3 million for the fiscal years ended September 30, 2010, 2011 and 2012, respectively, representing period over period growth each year of approximately 29%. Total revenues were $18.1 million and $22.3 million for the three months ended December 31, 2011 and 2012, respectively, representing period over period growth of approximately 24%. The company generated net income of $0.6 million and $1.5 million and net losses of $5.7 million and $1.3 million in the fiscal years ended September 30, 2010, 2011 and 2012 and the three months ended December 31, 2012, respectively. The company had an accumulated deficit of $62.5 million as of December 31, 2012.


Serious News for Serious Traders! Try StreetInsider.com Premium Free!

You May Also Be Interested In





Related Categories

Hot IPOs, IPOs

Related Entities

Piper Jaffray, Deutsche Bank, JPMorgan, Raymond James, Pacific Crest Securities