December 8, 1999 2:50 PM PST
Linux firm Andover.Net jumps in debut
Shares of Andover.Net began trading at 47.5--more than double the offering price of $18. The shares closed at 63.38, a gain of 252.08 percent. The company trades under the ticker "ANDN."
Andover.Net, which operates Web sites with programming and Linux news, also marked the third open IPO process for WR Hambrecht. Under the open IPO process, individual investors can acquire shares in an auction method, giving them the same opportunity as institutional investors who get IPOs at the offering price.
Andover.Net raised $72 million, based on the IPO price and 4 million shares It sold. The company initially expected to price its shares at $12 to $15.
The Acton, Mass.-based company's success could bode well for another Linux IPO that is on tap for this week. VA Linux Systems is expected to price tonight and begin trading tomorrow under the ticker "LNUX."
VA Linux yesterday raised its pricing range by nearly double--a move that indicates demand is high for the stock.
The Linux server company may find its IPO on par with the success of Red Hat, which priced at $14 and leaped more than threefold in its first day of trading.