Guidewire Software Inc, a provider of software to property and casualty insurers, saw its shares soaring in their debut on the New York Stock Exchange, closing 32 percent above the offering price on Wednesday. The shares jumped as much as 39 percent above their offer price of $13, with more than 4 million shares changing hands.
San Mateo, California-based Guidewire Software, which had filed with US regulators in September last to raise about $100 million via IPO, intends to use the proceeds from the offering for acquisitions and for investing in products.
The company, which bills its customers for license and maintenance fees annually, posted revenue of $172.5 million for the year ended July 31, 2011. Net income for the period was $35.6 million.
After the IPO, its major stockholders - private equity firms US Venture Partners and Bay Partners - own 46.1 percent in the company, it said in a regulatory filing. J.P. Morgan Securities, Deutsche Bank Securities, Citigroup Global Markets, Stifel Nicolaus & Co and Pacific Crest Securities were the underwriters for the offering.
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