NEW YORK - Shares of Veeva Systems Inc. nearly doubled in their trading debut Wednesday after the cloud-based software company raised about $261 million in its initial public offering.
Veeva Systems, which is based in Pleasanton, Calif., makes cloud software for pharmaceutical companies and other life science businesses that helps them manage customers and increase productivity. The programs are hosted on remote servers, often called the “cloud.” That means that businesses don't need to install and run software in-house, saving on the costs of running their own hardware.
The company priced its offering of 13 million shares at $20 per share. That's above the $16 to $18 per share it had previously expected to price them at.
The stock rose $18.57, or 93 per cent, to $38.57 in afternoon trading Wednesday. It rose as high as $39.64 earlier in the day.
The stock is trading under the symbol “VEEV” on the New York Stock Exchange.
Veeva Systems did not specify how it would use the money it raises, but said it may use it for acquisitions or investing in other businesses.
Shares of Springleaf Holdings jumped Wednesday morning after the lender expanded its initial public offering, selling $336.7 million in stock.
Springleaf expanded its IPO to 21 million shares from 20 million and said the offering priced at $16 per share, in line with its estimates.
The company's shares gained $1.70, or 10 per cent, to $17.70 in morning trading.
The stock is now trading on the New York Stock Exchange under the ticker symbol “LEAF.” Springfield said the underwriters of the IPO will have an option to buy 3.2 million more shares to cover over-allotments.
Springleaf Holdings Inc. provides non-prime consumer loans through a network of 834 offices and online. It is based in Evansville, Ind.
Shares of oil and natural gas pipeline company Plains GP Holdings LP are modestly higher in their market debut.
The stock gained 55 cents, or 2.5 per cent, to $22.55 in Wednesday morning trading.
Plains GP priced the initial public offering of 128 million shares at $22 each, at the low end of its projected range of $22 to $25 per share. It raised about $2.82 billion in the offering.
The Houston-based company, which operates crude oil and natural gas pipelines, fracturing facilities and processing plants in Canada and the U.S., is giving the underwriters a 30-day option to buy up to an additional 19.2 million shares.
Plains GP said that it plans to distribute the offering's net proceeds, along with any proceeds received if the underwriters exercise their option, to existing owners of Plains AAP LP, who are selling part of their interest in Plains GP to the company in connection with the offering. Plains AAP currently owns all of the incentive distribution rights and an indirect 2 per cent general partner interest in Plains All American Pipeline LP. Plains GP will own a 21.1 per cent limited partner interest in AAP once the offering closes.
The shares are trading on the New York Stock Exchange under the “PAGP” ticker symbol.
The offering is expected to close on Monday.