SQST_<DeGraw likened SciQuest.com to Chemdex Corp. <CMDX.O>, a similar company that went public in July and has seen its shares rise about 340 percent since the offering>
NEW YORK, Nov 19 (Reuters) - Shares of SciQuest.com Inc. <SQST.O> nearly doubled in price in the online database company's market debut Friday, making it among the top percentage gainers on the Nasdaq stock market.
Stock of company, whose database is used by scientists to find products in the pharmaceuticals, biotech, chemical and other areas, leaped 13-1/4, or 83 percent, to 29-1/4 from its 16 a share offering price.
In a sign of strong demand, the company's shares had priced above the expected $12-$14 range, which had already been raised from $10-$12 a share in its initial public offering. With 7.5 million shares offered, the company raised about $120 million.
"I was actually looking for a strong one out of this," said Irv DeGraw, research director at WorldFinanceNet.com. "They are a market maker. They bring together buyers and sellers on their Web site. They are creating a market."
DeGraw likened SciQuest.com to Chemdex Corp. <CMDX.O>, a similar company that went public in July and has seen its shares rise about 340 percent since the offering. On Friday, Chemdex was trading down 11/16 at 65-15/16.
"I would expect the companies to do well in the aftermarket.
SciQuest.com, located online at sciquest.com, plans to use the net proceeds to expand sales and marketing, enhance technology and add to its online content and for general corporate purposes, including working capital.
The initial stock sale was underwritten by Donaldson, Lufkin & Jenrette, Deutsche Banc Alex. Brown, Hambrecht & Quist and others. |
